Weekly Market Commentary - JUNE 2, 2025
Week In Review
Despite a holiday-shortened trading week that ended with accusations that China had violated the
agreement suspending retaliatory tariffs, the major U.S. equity indices closed out the month of May on a high note as consumer confidence was inspired by auspicious trade deals, subsiding inflation, and the potential for a dovish Fed monetary policy later this year. In all fairness, the minutes of the Fed’s May meeting that were released portrayed a cautious committee confronting the sweeping implications of current trade and fiscal policies for the economy, but their interest rate stance may have gained further clarity from an upward revision to first quarter GDP and a promising retail inflation update matching 2021 levels. The PCE Price Index for the month of April rose just 0.1% and is up only 2.1% from a year ago, much closer to the Federal Reserve’s target of 2%. While the long-term impact of trade policy could still derail crucial progress, the inflation headline supported continued market momentum. On the earnings front, Nvidia beat analyst expectations on both the top and bottom lines, bolstering AI-related sectors and equity market breadth. The S&P 500 rose +1.9% for the week and improved +6.2% for the mo
This Week
Highlights include a speech by Federal Reserve Chairman Jerome Powell at the International Finance Division’s conference in Washington, D.C., the Fed Beige Book, and the U.S. employment report and rate update. Earnings season continues at a subdued pace, with 8 S&P 500 companies reporting financial results for Q1, including CrowdStrike and Broadcom. 3
Portfolio Themes
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Data: Unless otherwise noted, data for charts, graphs, and tables is sourced from YCharts. Portfolio Themes chart sourced from Nuveen.
1 Style box returns use various Russell indices tied to specific areas of the market cap (vertical) and style (horizontal) spectrums.
2 Index Statistics: P/E Ratio – Displays the forecasted P/E ratio of the representative index ETF. Yield - Dividend-per-share divided by current share price. Table statistics are updated weekly. MSCI indices represent broad global and international equity markets. Indices are represented by iShares ETF proxies (IVW, IVV, IVE, ACWI, and ACWX). Past performance does not guarantee future results.
Weekly commentary and investment advisory services are provided by Simplicity Wealth, LLC a SEC Registered Investment Adviser. Registration does not imply a certain level of skill or training. The information provided is for informational purposes only and does not constitute any form of advice or recommendation. The information contained within has been obtained from various sources and is believed to be accurate at the time of publication.
