In 2024, the financial markets have witnessed notable achievements and milestones, with the bull market showing resilience and growth for almost two years. The S&P 500 Index, a prominent indicator of the US stock market, has marked 57 new all-time highs, with the year concluding on a positive note with the potential for a 'Santa Rally.' Ryan Detrick, from Carson Research, highlighted 2024 as one of the best election year returns in history, emphasizing the market's robust performance.
Ryan Detrick also compared the enduring nature of the current bull market to a cruise ship, noting that once it gains momentum, stopping it becomes challenging. The Dow Jones Industrial Average index reached remarkable milestones throughout the year, hitting record levels and experiencing rapid surges, exemplified by its quick climb from 44,000 to 45,000 in just seven trading days. Additionally, the Dow witnessed a rare 10-day losing streak, a first since 1974, showcasing the market's fluctuating dynamics in 2024.
While the S&P 500 and Dow Jones showed significant growth percentages by the end of the year, the Nasdaq 100 index stood out with a strong year-to-date increase. Technology and communication services emerged as top-performing sectors, reflecting the market's sector-wise dynamics and investor preferences. As companies such as Palantir, Vistra, and Nvidia achieved remarkable gains, the financial landscape in 2024 exhibited a mix of opportunities and challenges for investors and analysts alike.
The US Dollar also made headlines in 2024, experiencing a notable surge in demand and value due to a combination of factors, including policy uncertainties and hawkish comments from the Federal Reserve. The currency's performance against emerging markets and Japan, along with the impact of the Fed's easing cycle, influenced its strength and market dynamics throughout the year. ETFs tracking the Dollar's performance, such as WisdomTree Bloomberg US Dollar Bullish Fund USDU and Invesco DB US Dollar Index Bullish Fund UUP, reflected the currency's movements and investor sentiments in the global market.