Summary
The US stock market ended 2025 on a high after a year of ups and downs. Despite initial drops due to President Trump’s trade tariffs, strong company profits and enthusiasm for AI investments helped the market gain by year's end. Key stock indexes like the S&P 500 and Nasdaq Composite achieved significant growth.
Key Facts
- The S&P 500 index is set to increase by about 17% in 2025.
- The Nasdaq Composite index is anticipated to rise by 21%.
- President Trump's trade tariffs initially caused stock market declines.
- Stocks rebounded after Trump eased some of his tariffs.
- Gold prices are up nearly 70% as investors seek safe investments amid economic concerns.
- Bitcoin is expected to end the year slightly lower, despite earlier support from the Trump administration.
- Investor excitement over AI investments drove major tech firms' growth.
- There are concerns over potential overvaluation in the tech sector, though smaller companies showed growth in the later part of the year.