New Delhi, June 16 -- Despite a modest improvement in May 2025, global volatility lingers amid a bleak trade outlook and prolonged tariff wars, though India remains well-positioned, supported by fiscal and monetary measures, SBI Capital Markets said in a report on Monday.

The report, Momentum & Murmurs - Trade Winds, Policy Turns, and Geopolitical Undercurrents (June 2025), also warned that US inflation could rebound once stocks of cheaper imports run out, potentially forcing the Federal Reserve to keep rates elevated for longer, raising the risk of a drawn-out tightening cycle.

"While May'25 saw a symptomatic improvement, we are still far from a cure for global volatility. Global growth and trade continue to have a morose outlook, slig...