In May 2025, the ASX 200 (up 5.13%) and S&P 500 (up 7.10%) saw gains, fuelled by improving economic conditions like inflation moving within target ranges (2-3% in Australia), and renewed consumer confidence. The RBA lowered the cash rate to 3.85% in response. Meanwhile, the Australian residential property market continued its upward trend, reaching new record highs despite some moderation due to pre-election caution and tariff concerns, with regional markets outperforming capital cities and houses generally outpacing units in value growth.