Market Pulse - May 2025
- Monthly Market Pulse
- 11.06.25
Key themes
- Trade tensions between the US and trading partners eased during the month, with the US and China agreeing to reduce previously announced tariffs
- Global stock markets rallied in response to the apparent softening of the Trump administration’s stance
- Bond yields climbed amid concerns around rising government debt, with Trump’s “One Big Beautiful Bill Act” expected to drive significant bond issuance
Markets snapshot
- The MSCI All Country World index rose by 5.7% (6.0% in euros) over the month.
- The MSCI USA rose by 6.5% (6.6% in euros)
- The MSCI Europe ex-UK was up by 4.9% (5.0% in euros)
- The MSCI EM index rose by 3.2% (4.4%) in euros.
- The yield on the 10-year US Treasury rose by 23bps, ending the month at 4.39%.
- The 10-year German Bund yield rose 6bps to 2.51%.
- The ICE BofA 5+ Year Euro Government bond index returned 0.1% in May.