Global equity markets showed a strong rally in early May 2025, driven by positive economic data from the United States and indications of China's willingness to negotiate trade tariffs with the U.S. European futures markets advanced significantly, with Euro Stoxx 50 futures rising between 0.8% and 1.3%, DAX futures increasing by up to 1.4%, and FTSE futures gaining up to 0.6%. By the close of European markets on May 2, major indices posted notable gains: Euro Stoxx 50 rose 2.39% to 5,284 points, DAX increased 2.49% to 23,057, CAC 40 climbed 2.33% to 7,770, and FTSE 100 advanced 1.17% to 8,596. Other European indices such as Switzerland's SMI, Italy's FTSE MIB, and Spain's IBEX 35 also recorded gains above 1%. Year-to-date returns on a euro basis showed the DAX up 16.0%, gold up 14.0%, and Switzerland MSCI up 7.4%, while U.S. Treasuries and major U.S. equity indices including the S&P 500 and Nasdaq 100 experienced declines. The positive momentum in global equities was tempered by volatility and mixed performances in Asian markets, with the Nikkei 225 down 5.3% and the MSCI World index down 7.3%. Currency markets showed minor fluctuations with the GBP/USD and EUR/USD pairs largely stable. Overall, the market optimism reflects improving economic fundamentals and easing trade tensions between the U.S. and China.