Wall Street ended 2024 on a sour note, with the S&P 500 slumping in the final days of the year. However, the index still managed a 24.1% gain for the year, the second consecutive annual surge over 20%. The Nasdaq outperformed with a 28.64% gain, while the Dow had a more modest 12.88% gain. January is seen as a crucial month for the market, with a strong January usually indicating strong annual gains. However, December's weak finish and concerns about inflation and rate cuts have analysts worried about a rough start to 2025. Tech stocks were the winners of 2024, with the so-called "Magnificent Seven" carrying the market. Skeptics are warning of a tech bubble, though, comparing the current boom to the dot-com bubble of the early 2000s. Industrial materials stocks had a tough year due to China's sluggish economy and fears of a recession. Politics, including President Trump's re-election, played a significant role in the market. Bitcoin had a record-breaking year, surging 119%. However, there are concerns that economic contraction in 2025 could be detrimental to Bitcoin.



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