ECO043 Quarterly Economic Update: Feb–Apr 2025 (597 words)

This quarterly update highlights the economic and political events shaping Australia and global markets from February to April 2025, including a landmark federal election, Trump’s global tariff upheaval, shifting interest rates, and growing cost-of-living pressures. Amid market volatility and housing strain, the report points to cautious optimism with steady employment and growing investment in renewable energy.

These last few months have reminded us just how vulnerable investment markets are to the economy and political landscape. From a landslide federal election here in Australia to sharemarket volatility, rising gold prices, and the continued cost-of-living challenges, there’s been no shortage of talking points.

Election Shake-Up

On 3 May, voters made their voices heard—and loudly. Labor, led by Anthony Albanese, wasn’t just re-elected. They surged to a clear majority, securing 93 seats in the House. For context, that’s a leap from the 77 seats they held after the last election.