Francisco Bruno Moreira Bras Gomes
Dear copiers and followers, In May 2025 U.S. equities completed a dramatic rebound from the late-March sell-off, with the $SPX500 rallying roughly 6 percent and the $NSDQ100 surging about 9.5 percent, thanks in large part to blockbuster earnings from AI-leader Nvidia and a broader tech-driven bid for risk assets . While this late-spring pop has helped erase much of April’s losses, the S&P still trails several international markets year-to-date, including those of Austria and Poland . Much of May’s strength came amid a backdrop of easing trade jitters: after a federal court struck down key portions of the Trump-era emergency tariffs—only to have an appeals panel temporarily reinstate them—stocks absorbed the headlines with minimal lasting damage . At the same time, the Federal Reserve held its policy rate at 4.25–4.50 percent on May 7, emphasizing a cautious “wait-and-see” stance as officials weighed upside risks to inflation against hints of slowing growth . The labor market remained a bright spot, with weekly jobless claims edging up only modestly to 240,000 and payrolls growing by 177,000 in April—enough to keep the unemployment rate pinned at 4.2 percent . On the growth front, a slight Q1 GDP contraction of 0.2 percent raised fresh questions about consumer resilience, although many strategists have since nudged their year-end S&P 500 forecasts toward 6,000 on hopes for eventual policy easing . Technically, the S&P 500’s daily chart shows a textbook V-shaped recovery from the April low near 5,100 up into the upper 5,900s. The next meaningful resistance zone sits around 6,100—the January highs—while former breakout territory near 5,700 offer clear support. Notably, May’s advance has come on lighter volume compared with the heavy selling of March and April, suggesting buyers are still feeling their way back in; a pickup in turnover on any decisive push above 6,000 would provide a strong technical confirmation of a new uptrend. Happy investing!
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