Markets posted strong gains in May, with the S&P 500 and Nasdaq Composite turning in their best monthly performances since November of 2023. Equities were buoyed by a surprise tariff de-escalation agreement between the U.S. and China, bolstering hopes that global trade tensions might ease heading into the summer. Meanwhile, resilient corporate earnings, strong AI tailwinds, and improving consumer sentiment contributed to broad-based optimism despite a sharp backup in Treasury yields.