Markets Rebound After Spring Slump
Following a sharp sell-off in April driven by concerns over Donald Trump's tariff agenda, stocks have made a strong comeback. Wall Street ended the week on a high note, with the S&P 500 (.SPX) closing above 6000 for the first time since late February. A reassuring U.S. jobs report helped ease fears about a broader economic slowdown.
All Eyes on the Fed
Attention now shifts to the upcoming Federal Reserve meeting on June 17–18. Analysts expect the central bank to hold interest rates steady, but futures markets are increasingly pricing in two potential 25-basis-point cuts before year's end.
S&P 500 Climbs Back
Although the S&P 500 is up just 2% year over year, the index has surged more than 20% since April 8, when investor sentiment hit a low amid growing trade tensions.
Washington Drama Clouds Market Outlook
Adding to market uncertainty is a sweeping tax and spending bill currently under debate in the U.S. Senate. While investors weigh the bill's potential to fuel economic growth, they're equally concerned it could deepen the national debt — an issue that's come roaring back to the forefront of market discussions.
Musk and Trump: From Allies to Adversaries
The legislative package has also exposed a widening rift between President Trump and Tesla CEO Elon Musk. Once an ally, Musk blasted the proposal as "a disgusting abomination," prompting Trump to publicly voice his "disappointment" in the billionaire's opposition — a clash that rippled through the stock market.
Countdown Begins: Tariff Truce Nears Deadline
The markets are holding their breath as the clock ticks toward July 8 — the expiration date of a 90-day suspension on a broad range of U.S. tariffs. On Friday, President Donald Trump announced that three of his top officials would meet with Chinese delegates in London on Monday to reignite momentum in stalled trade negotiations.
Europe Cools Off After Rally
After wrapping up the previous week on a positive note, European equities started Monday cautiously. Market participants were hesitant ahead of the fresh round of U.S.–China trade talks, and several key markets remained closed for the Whit Monday holiday.
Snapshot: STOXX 600 Performance
- The pan-European STOXX 600 index held steady at 553.21 points as of 07:46 GMT;
- This followed four consecutive sessions of gains;
- Markets in Switzerland, Denmark, and Norway were closed for the holiday.
Hope Rises as Trade Talks Resume
The high-level meeting in London has sparked cautious optimism. While no breakthrough is expected immediately, investors are eager for signs of progress or even a softening of the hardened positions. The trade standoff, once about tariffs alone, has evolved into broader concerns over export controls and geopolitical alignment.
China Signals Flexibility
As a possible goodwill gesture, Beijing announced plans to fast-track approval for rare earth metal exports to European Union companies. This move could signal China's willingness to ease tensions on multiple fronts.
Auto Sector Feels the Pressure
Among the sectors most vulnerable to disruption in rare earth supply chains, automakers had a mixed start to the day. Their uneven performance reflected the ongoing uncertainty over the future of trade relations and material access.
European Markets Lifted by Trade Optimism and Strong U.S. Jobs Data
European equities ended last week on an upbeat note, supported by easing trade tensions and a surprisingly strong U.S. jobs report. The robust employment numbers helped calm fears about a potential slowdown in the American labor market.
All Eyes on U.S. Inflation This Week
Looking ahead, investors will closely monitor U.S. inflation data for signs that President Donald Trump's erratic trade policies are beginning to ripple through the broader economy — particularly through rising consumer prices.
Alphawave Surges on Qualcomm Takeover News
Shares of UK-based semiconductor firm Alphawave (AWE.L) soared more than 23% after Qualcomm (QCOM.O) announced a planned acquisition valued at approximately $2.4 billion. The deal adds fresh momentum to the global chip sector.
Revolution Beauty Gains Amid Acquisition Buzz
Cosmetics brand Revolution Beauty (REVB.L) jumped 10.8% as billionaire Mike Ashley's Frasers Group (FRAS.L) — among other suitors — initiated a due diligence process, signaling possible takeover interest.
WPP Dips on CEO Exit Plans
Shares in advertising conglomerate WPP (WPP.L) slipped 1.9% following news that CEO Mark Read intends to retire by the end of 2025, concluding a seven-year leadership run that reshaped the company's strategy.
