Sharkey, Howes & Javer

This week on Inside the Economy, we address stock market performance, corporate America, current trade and tariff developments, and government debt. The S&P 500 posted its best May performance in 35 years, challenging the old saying, “Sell in May and go away.” Which companies led the index during this rally? How have capital expenditures evolved among large technology firms in recent years? We also explore how Asian economies have significantly increased their net purchases of U.S. bonds and stocks since 1997—a trend largely driven by their export relationships with the U.S. and subsequent investments in U.S. Treasuries. Has this pattern changed since the onset of trade tensions? Finally, as tariffs increase the cost of imported goods and services, could businesses begin passing those costs on to consumers? Tune in to learn more! Key Takeaways: • Unemployment at 4.2% • 30-year bond yield at 4.95% • U.S. Debt-to-GFP ratio is 123% as of April 2025