Weekly Market Recap: August 25 – 31, 2025
Last week’s movements reflected US GDP growth and global markets trends, showing stability at home but weakness abroad. Oil prices bounced a little, but crypto continued to struggle.
Here’s what happened:
Equity Markets
- Dow Jones (US30): 45,545 (–0.2%) – small dip after recent gains.
- S&P 500 (SPX500): 6,460 (–0.1%) – basically flat.
- Nasdaq (NAS100): 21,456 (–0.2%) – tech stocks cooled off.
- MSCI EAFE (Europe & Asia): 2,731 (–1.2%) – weaker global sentiment.
- 10-Year U.S. Treasury Yield: 4.22% – no big change.
- Oil (UKOIL): $64.04 (+0.6%) – a small recovery.
- Bonds: $99.46 (+0.1%) – slight move up.
Macroeconomics
Economic data was mixed, with the U.S. showing strength while other regions signaled weakness.
- United States:
- Growth was stronger than expected, with GDP for Q2 revised up to 3.3% from a negative reading before.
- Inflation (Core PCE) stayed steady at 0.3% month over month.
- Orders for durable goods fell, showing weaker business demand.
- Income and spending both rose, showing U.S. consumers are still spending.
- Europe:
- Germany’s business and consumer surveys showed confidence is still weak.
- German inflation was a bit higher at 2.2%, while France and Italy stayed calmer at 0.9% and 1.6%.
- Asia:
- Japan’s consumer confidence improved slightly.
- India stood out with very strong GDP growth of 7.8%, beating expectations.
Crypto Markets
The crypto space had another rough week.
- Bitcoin (BTCUSD): closed at $109,810, down –4.6%.
- Ethereum (ETHUSD): dropped –8.1% to $4,394, underperforming Bitcoin.
Traders pulled back as liquidity dried up and there were no strong catalysts to lift prices.
Earnings
It was a quiet week on the earnings front, with most major companies already reporting. The focus shifted back to economic data and central bank outlooks.
Global Markets
- Canada: GDP shrank by –1.6% (annualized), raising fears of recession.
- India: continued to shine as one of the fastest-growing major economies.
- Germany & Japan: weak sentiment added to worries of slow growth in developed markets.
Conclusion
The week ended without clear direction. US GDP numbers showed growth, but weak global markets sentiment capped gains. Crypto continued to bleed, and equities stayed mostly flat.
Now, all eyes turn to September. Inflation reports, job numbers, and central bank meetings will set the tone for what’s next.
For traders, this is the calm before the storm. Patience and preparation will matter most in the weeks ahead.
