Each month, senior leaders of Hancock Whitney’s Asset Management team discusses the latest news and events that impact markets and the economy.
May 2025 Markets and Economic Outlook Webinar
This Month:
The team unpacks April's market volatility, sparked by an aggressive tariff rollout and growing signs of economic softening. From a flat GDP reading to labor market frictions, the call highlights a fragile but not faltering U.S. economy. Inflation remains surprisingly tame, but policy uncertainty looms large.
Key Highlights
- GDP stalls as trade dynamics shift – The economy posted a -0.3% GDP print for Q1, dragged lower by a rush of pre-tariff imports. Strip out the noise, and underlying demand remains modest but intact.
- Labor market cooling – Job creation is slowing with a fragile supply backdrop. Self-deportation and restricted immigration are reducing workforce availability, leaving the market more vulnerable to shocks.
- Inflation eases—Fed on hold – March’s zero core PCE print was a surprise. While that supports the case for Fed cuts later this year, policy remains restrictive, and the Fed is in no rush to act.
- Tariff shock causes market whiplash – The so-called “Liberation Day” tariff policy drove one of the most violent stock market selloffs since early 2020. Are businesses and consumers prepared for what’s next?
- Manufacturing reshoring adds friction – Firms are continuing to move production out of China, potentially positive long-term, but disruptive in the short run.
- What does it all mean for investors? – A cautious stance remains prudent. With rising volatility, economic resilience, and global realignment all in play, diversification and discipline are essential.
Don’t miss the next Markets & Economic Update on Tuesday, June 3, 2025. Register today.
Disciplined investing is more important now than ever.
Our Asset Management team at Hancock Whitney is ready to help you align your portfolio to weather uncertainty and pursue long-term goals. Contact your Private Banker today.
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