Market Insights

The so-called “One Big Beautiful Bill” making its way through Capitol Hill has sparked intense debate, particularly among fiscal conservatives and budget deficit hawks. Supporters promote the bill as a sweeping, comprehensive reconciliation package that aims to consolidate tax cuts, spending reforms, and Medicaid restructuring into a single piece of legislation. By advancing the bill through the budget reconciliation process, backers hope to bypass filibusters and secure passage with simple majorities.

Four times a year, the U.S. Bureau of Economic Analysis (BEA) releases gross domestic product (GDP) estimates, measuring the total monetary value of all goods and services produced within the country. The BEA’s initial estimate for the first quarter of 2025 showed an unexpected contraction in real GDP, which is adjusted for inflation. This indicated a potential slowdown compared to the previous quarter.

US stocks broadly extended their losses through March, following a decline in February, as investors remained cautious ahead of significant US trade tariff actions. The introduction of increased trade barriers may hamper global output, restrict economic growth, and raise consumer prices—all critical factors that can negatively impact stock market valuations.