16 Jun 2025 - Glenmore Asset Management - Market Commentary

Globally equity markets rallied strongly in May. In the US, the S&P 500 increased +6.2%, the Nasdaq rose +9.6%, whilst in the UK, the FTSE was up +3.3%. Domestically, the AllOrdinaries Accumulation index also performed strongly, appreciating +4.2%. On the ASX, the top performing sectors were technology and energy. The worst performers were defensive sectors such as utilities and consumer staples, which lagged as investor risk appetite recovered. As was the case in April, growth stocks performed very strongly in May with numerous technology stocks posting double digit gains.

In bond markets, the US 10-year bond yield increased +28 basis points (bp) to 4.44%, whilst its Australian counterpart rose +16 bp to close at 4.27%. The Australian dollar was flat in May, closing at US$0.643.