Alaoui Capital

#MarketRebound The #MarketRebound hashtag has been tied to recent market movements, particularly in May 2025, with sentiment reflecting cautious optimism. Posts on X and web reports highlight a stock market recovery following a U.S.-China trade truce in early May, with the S&P 500 erasing its 2025 losses and climbing 0.7% on May 13, driven by tech stocks like Nvidia and softer-than-expected inflation data (CPI up 0.2% in April). The Nasdaq 100 also rose 1.6%, turning positive for the year. However, the rebound faces headwinds. Trump’s renewed tariff threats against the EU and Apple, alongside a U.S. credit rating downgrade by Moody’s, sparked volatility, with the S&P 500 posting four consecutive days of losses by May 23. Treasury yields spiked, and the dollar hit its lowest level since December 2023, raising concerns about U.S. debt and trade wars. Investors are wary of high equity valuations and potential economic slowdown, with GDP growth projected to slow to 0.6% by Q4 2025. X posts reflect mixed sentiment: some users like @EliteOptions2 predict all-time highs, citing constructive price action, while @AlvaApp notes short-term relief but elevated hedging due to the 90-day tariff pause ending in July. Wall Street strategists warn of risks from tariffs and debt, with 45% of institutional investors surveyed by Evercore predicting a 2025 recession. The market’s path depends on trade negotiations and fiscal policy outcomes. Diversification into international equities and assets like gold is being recommended as a hedge against uncertainty. Always cross-check these insights with primary data, as market narratives can be skewed by short-term noise.