Finance The Week That Was

The week ending May 30, 2025, presented a complex and often turbulent landscape for global stock markets. The dominant theme was the ongoing “tariff saga” 1 involving the United States and China, which cast a long shadow over investor sentiment worldwide. Market participants found themselves reacting to a rapid succession of legal developments concerning US tariffs, creating an undercurrent of caution that rippled across international exchanges. While some markets, notably in the United States, demonstrated resilience and posted gains, others, particularly across Asia, faced significant headwinds. Adding to the intricate picture were key economic data releases, including crucial inflation reports and GDP figures, alongside central bank commentary and actions, all of which played pivotal roles in shaping the week’s market performance.

The trading week ending May 23, 2025, was marked by a significant uptick in investor anxiety and notably divergent performances across global stock markets. A primary catalyst for this widespread unease was the sharp revival of trade war concerns, predominantly ignited by new tariff threats emanating from the U.S. administration.This development cast a shadow over markets that had, in previous weeks, found some solace in what appeared to be a softening of trade rhetoric.

The week ending May 16, 2025, was largely characterised by a significant uplift in global investor sentiment, primarily ignited by a landmark 90-day agreement between the United States and China to pause most of their punitive tariffs. This “tariff truce” acted as a powerful catalyst, propelling many global equity indices to notable weekly gains. The US agreed to reduce tariffs on Chinese imports from 145% to 30%, while China committed to lowering tariffs on US goods from 125% to 10% for the 90-day period. This development eased immediate concerns about escalating trade tensions that had previously cast a shadow over the global economic outlook.

The week ending May 9, 2025, presented a complex tapestry for global financial markets. Investor sentiment oscillated in response to a confluence of factors, including ongoing international trade negotiations, pivotal central bank policy decisions, and escalating geopolitical tensions in certain regions. While some markets found support in stimulus measures or positive earnings, others grappled with uncertainty and risk aversion. This report will dissect the performance and key drivers across major economic zones.

Global stock markets experienced a significant surge during the week ending May 2, 2025, largely shaking off the deep concerns that dominated trading in April. A wave of optimism swept across major financial centres, driven primarily by unexpectedly positive economic news from the United States and renewed hopes for a de-escalation in the ongoing trade conflict between the US and China. This rally saw several benchmark indices reclaim substantial ground lost earlier in the year. However, this buoyant sentiment unfolded against a backdrop of mixed underlying economic signals and persistent anxieties regarding the broader impact of international trade policies. This report provides a detailed overview of market performance and key developments across the United States, Europe, Asia (with a specific focus on India), and Oceania during this eventful week.

The week ending April 25, 2025, was marked by significant turbulence across global financial markets. Investor sentiment swung dramatically, reacting primarily to shifting signals regarding United States trade policy, particularly the status of substantial tariffs aimed at China and other key trading partners. Markets began the period under pressure following the announcement of harsher-than-expected US tariffs earlier in the month, sparking fears of a global recession, escalating trade wars, and increased inflation. However, a notable rebound occurred mid-week across many developed markets as reports and official comments suggested a potential de-escalation and a willingness from the US administration to negotiate, offering tariff relief.