Stock Market Update Tuesday May 27, 2025
- AlgoTradeAlert
- May 27
- 5 min read
Stock Market Update Tuesday May 27, 2025 This week opens with yet another shift in the ongoing tariff narrative. Over the weekend, the newly imposed 50% European tariff, slated to take effect on June 1st and only recently announced, was unexpectedly put on hold. This abrupt policy reversal, coupled with escalating regulatory threats targeting Apple, weighed heavily on equity markets late last week. However, the weekend's de-escalation has buoyed sentiment, with S&P 500 futures trading approximately 1.2% higher as of Monday evening, signaling a potential rebound in risk appetite.
Economic Calendar:
Wednesday
2pm - FOMC Minutes
Thursday
8:30am - GDP
10am - Pending Home Sales
Friday
8:30am - PCE
9:45am - Chicago PMI
10am - UM Consumer Sentiment
Earnings (with expected moves):
Tuesday
After-hours: OKTA 11%, BOX 8.5%
Wednesday
Pre-market: DKS 6.5%, ANF 13%, M 9%
After Hours: NVDA 7%, CRM 7.5%, AI 13%
Thursday
Pre-Market: BBY 8%, KSS 14%
After Hours: COST 4%, MRVL 11%, AMBA 9%, ZS 7%, GAP 12%
Legislative Update: Fiscal Tensions Mount as "Big, Beautiful Bill Act" Moves to Senate
Just before the Memorial Day break, the House of Representatives barely passed the President's main bill, called the Big, Beautiful Bill Act. The vote was very close, 215–214, showing how weak the Republican control is in the House. Two Republicans voted against the bill, one voted "Present," and two didn't vote at all. Republicans also got a break because a long-time Democratic member died, creating a temporary open seat, which made it a little easier for Speaker Johnson to get the votes he needed.
The bill, which would raise the debt ceiling by $4 trillion and make big changes to fiscal policy, now goes to the Senate. There, it will face tough negotiations within the Republican party, especially between those who want to cut spending and more moderate Republicans. Speaker Johnson can't afford many mistakes and has stressed that Senate changes to the bill must be small to keep his narrow majority in the House.
However, the President Trump appeared to take a more conciliatory stance, stating:
“I want the Senate and the senators to make the changes they want. It will go back to the House and we’ll see if we can get them. […] Some will be minor, some will be fairly significant.”
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