As global markets navigate an increasingly complex economic landscape, a wave of updates this week underscores just how interconnected—and volatile—the current climate remains. From trade tensions to faltering luxury sales, here’s a snapshot of the key developments shaping financial headlines.

Bessent: China Tariffs Are “Not Sustainable”

Scott Bessent, a prominent U.S. investor and former chief investment officer for George Soros, has called out the durability of the U.S. tariffs on China, labeling them “not sustainable.” As trade tensions simmer, his remarks signal growing skepticism over the long-term viability of hardline trade strategies—particularly amid broader calls for economic recalibration.

OPEC+ Eyes Another Output Boost for June

Oil producers in the OPEC+ alliance are reportedly considering another accelerated output increase for June. Some members are pushing for a more aggressive hike to stabilize prices and respond to ongoing geopolitical and market pressures. This comes as global energy demand remains uncertain, and producers attempt to balance supply needs with inflation-sensitive economies.

IMF Raises Red Flags on Global Debt

The International Monetary Fund has issued a sobering warning: global debt is surging again just as economic growth weakens. With borrowing costs elevated and fiscal buffers strained, the IMF cautions that this growing imbalance could spark deeper financial vulnerabilities in both developed and emerging economies.

Europe Weighs U.S. Tariffs’ Impact

European Central Bank President Christine Lagarde has noted that U.S. tariffs could have a disinflationary effect across Europe, potentially easing price pressures at a time when the continent is grappling with its own economic headwinds. Meanwhile, EU Trade Commissioner Valdis Dombrovskis signaled that Brussels still favors a negotiated solution to trade disputes with Washington.

Tesla Cuts Back Amid Tightest Quarter Since 2021

Tesla has scaled back its capital spending plans following its most frugal quarter since 2021. The EV giant, facing intense competition and margin pressures, appears to be shifting to a more conservative fiscal strategy, raising questions about its aggressive growth outlook.

Kering’s Luxury Woes Deepen

Kering, the French luxury powerhouse behind Gucci, reported a 14% drop in first-quarter sales, as the brand’s crisis deepens. Once a fashion juggernaut, Gucci is struggling to regain its cultural footing and consumer appeal, particularly in critical markets like China.

China Escalates Boeing Dispute

China has taken a sharp turn in its ongoing trade spat with the U.S., sending back Boeing aircraft in a pointed response to the broader diplomatic rift. The move highlights just how entwined trade and geopolitics have become—and how real-world consequences are unfolding for major corporations.

Gold Sinks as Risk Sentiment Improves

Gold prices took their steepest dive in years, a reaction to an improving risk narrative across markets. As investors shift toward riskier assets, the traditional safe haven is losing some of its luster—for now.