4 Economic Events That Could Affect Your Portfolio This Week, May 12-16, 2025
Stocks snapped their winning streak, ending the week slightly lower. The Dow Jones Industrial Average (DJIA) declined by 0.16%, the S&P 500 (SPX) fell by 0.47%, and the tech-heavy Nasdaq-100 (NDX) was down by 0.20% for the week.
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Stock indexes started the week lower, with the S&P 500 ending its nine-day winning streak on Monday as nervous investors took some profits ahead of a headline-heavy week. Markets extended their slide on Tuesday, continuing to consolidate after a robust run while awaiting the Federal Reserve’s rate decision. But a rebound followed on Wednesday and Thursday, buoyed by both Fed Chair Jerome Powell and President Trump.
The Fed held rates steady on Wednesday, citing increased macroeconomic uncertainty tied to tariffs and signaling a continued “wait and see” approach. While this stance – and the emphasis on “uncertainty” – were widely expected, Powell’s accompanying statement that the economy remains in a “solid position” helped calm some investor concerns and sparked a market rebound. In essence, investors read between the lines: the economy is resilient enough to give the Fed room to maneuver without being rushed into action.
Meanwhile, optimism grew on news that U.S. and Chinese officials plan to meet in Switzerland for trade talks, reviving hopes for a de-escalation of the tariff tit-for-tat. Thursday brought more tariff-driven enthusiasm, with the announcement of a broad U.S.-U.K. trade agreement – the first since the Trump administration unveiled reciprocal tariffs on April 2. However, despite the optimism about resumed dialogue, investors quickly grasped that a swift resolution to U.S.-China trade tensions remains unlikely. Adding to the long-term uncertainty, reports emerged about the Trump administration’s list of roughly 20 countries prioritized for early trade negotiations. The list includes key partners like Japan, South Korea, and Vietnam, along with several minor trade contributors – highlighting the bumpy and prolonged path ahead as global trade relations undergo a major reset.
Four Economic Events
Here are four key economic events that could affect your portfolio this week. For a full listing of additional economic reports, check out the TipRanks Economic Calendar.
» April’s CPI and CPI ex. Food and Energy (Core CPI) – Tuesday, 05/13 – The Consumer Price Index (CPI) is one of the two key measures of inflation (the other being the Personal Consumption Expenditures index, or PCE). Policymakers, businesses, and consumers closely monitor the CPI report, as it reflects price trends across the economy, shapes consumer spending and business sentiment, and directly influences the Federal Reserve’s interest rate decisions.
» April’s Producer Price Index (PPI) and PPI ex. Food and Energy – Thursday, 05/15 – This report reflects input costs for producers and manufacturers. Since the PPI measures the cost of producing consumer goods – which ultimately affects retail prices – it is viewed as a leading indicator of inflationary pressures. As such, it often foreshadows the following month’s CPI and plays a critical role in shaping inflation expectations among policymakers.
» April’s Retail Sales – Thursday, 05/15 – This report indicates how much consumers are spending on durable and non-durable goods. Retail Sales is a leading indicator of economic health, offering insight into the current quarter’s economic growth and the inflationary pressures stemming from consumer demand.
» May’s Michigan Consumer Sentiment Index and UoM 5-year Consumer Inflation Expectations (preliminary readings) – Friday, 05/16 – These reports summarize the findings of a monthly survey measuring consumer confidence and long-term inflation expectations in the U.S. Consumer confidence directly affects spending, which accounts for roughly 70% of U.S. GDP. The inflation expectations component is also factored into the Federal Reserve’s Index of Inflation Expectations.
For more exclusive market insights and content from TipRanks Macro & Markets research analyst Yulia Vaiman, click here.