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US Stocks Surge as Tariffs Fall, Inflation Hits Low

5/22/2025

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Story summary
  • The S&P 500 Index approaches its all-time high, while the German DAX Index surged nearly 19% in 2025.
  • A significant reduction in tariffs between the US and China is driving US stock market gains.
  • US inflation dropped to 2.3%, the lowest since 2021, with stable Federal Reserve interest rates expected.
  • Germany aims to raise defense spending to 5% of GDP, meeting NATO requirements.
  • US consumer confidence remains low at 50.8, reflecting concerns about economic growth.