From A.I. to Tariffs: 14 Charts That Explain 2025

1. AI Investment Surges Across All Sectors

What the data shows: Venture capital funding for artificial‑intelligence startups reached a record $42 billion in 2025, up 38 % from the previous year. The steepest growth came from health‑tech and autonomous‑vehicle firms, which together accounted for more than half of the new capital.

2. U.S. Trade Deficit Narrows Under New Tariff Regime

President Trump’s revised tariff strategy cut the overall trade deficit by $15 billion, a 4.2 % improvement. The chart highlights a sharp decline in imports of steel and aluminum, while exports of agricultural products continued to climb.

3. Inflation’s Deceleration in the Second Half of the Year

Consumer price index (CPI) growth slowed from a peak of 7.1 % in March to 3.3 % by October. The chart illustrates the impact of lower energy prices and the Federal Reserve’s aggressive rate hikes.

4. Stock Market Rally: S&P 500 Breaks New Milestones

Despite inflation worries, the S&P 500 finished the year 12 % higher than its 2024 close. Technology and clean‑energy stocks led the charge, as shown in the sector‑performance breakdown.

5. Job Growth Shifts Toward Tech and Green Energy

Employment in AI‑related fields rose by 9 % YoY, while renewable‑energy jobs grew 7 %. The chart contrasts these gains with a modest 2 % rise in traditional manufacturing employment.

6. Housing Market Cooling After a Fiery 2024

Home‑price appreciation fell from 15 % in 2024 to 4.5 % in 2025. Mortgage‑rate spikes are evident in the graph, which also shows a 6 % dip in new‑home construction permits.

7. Consumer Sentiment Rebounds

The University of Michigan’s consumer confidence index jumped from 78 in early 2025 to 92 by year‑end, reflecting optimism about job security and lower fuel costs.

8. Energy Prices Stabilize After Volatile 2024

Crude oil settled around $72 per barrel for most of 2025, a sharp contrast to the $115 peak seen the previous year. The chart links this stability to increased U.S. shale output and OPEC’s production adjustments.

9. Trade Relations With China: A Mixed Picture

While tariffs on Chinese electronics were lifted, agricultural tariffs remained. Export volumes of soybeans grew 13 %, but imports of consumer electronics fell 5 %.

10. Federal Budget Deficit Shrinks

Government spending cuts and higher tax revenues reduced the deficit by $30 billion, bringing it to 4.1 % of GDP. The chart compares quarterly deficit figures throughout the year.

11. Corporate Profit Margins Expand

Average profit margins for S&P 500 companies rose to 12.8 %, up from 10.5 % in 2024. The increase is most pronounced in the software and biotech sectors.

12. International Tourism Rebounds

U.S. inbound tourism reached 92 million arrivals, a 22 % increase over 2024. The graph highlights the resurgence of European and Asian travelers.

13. Supply‑Chain Resilience Improves

Average lead times for critical components dropped from 45 days to 28 days, thanks to diversified sourcing and greater inventory buffers. The chart tracks these metrics month by month.

14. Cryptocurrency Market Stabilizes After Turbulence

Bitcoin’s price volatility narrowed, with a 30‑day rolling standard deviation falling from $3,200 in early 2025 to $1,100 by December. Institutional adoption rates, shown in the accompanying line, rose steadily throughout the year.