Investors hoping for another steady stream of record highs for US stocks in 2025 have instead found a market hemmed in by uncertainty.
US Stocks gained 24% in 2024, with the final months seeing the market repeatedly pushing to fresh all-time peaks despite stretched valuations, political uncertainty, and elevated interest rates. That bull market has lost some momentum in 2025. US stocks are in the green for the year, up about 4.6%, but progress has been slow and unsteady. For instance, US stocks fell sharply on Thursday after reaching a new high for the year in the previous trading session.
Source: Sarah Hansen, Morningstar, 24th of February 2025.