Wall Street Soars: AI's Influence on 2024 Market Highs

Wall Street's major indexes conclude 2024 on a high note, bolstered by economic resilience, Federal Reserve rate cuts, and the AI revolution. The S&P 500, Dow, and Nasdaq near record highs, with significant gains in technology and energy stocks. Trump's presidential win propels small-cap and crypto stocks.

In the final trading session of 2024, Wall Street's major indexes opened higher, extending a bullish trend that began over two years ago. This growth, driven by post-pandemic resilience, optimism from lower borrowing costs, and the AI surge, has led the S&P 500, Dow, and Nasdaq to nearly record-breaking levels.

Interest rate cuts of nearly 100 basis points by the Federal Reserve and a rally in technology stocks have been pivotal, pushing equities to record highs. Notably, despite a smaller surge compared to last year, Nvidia still achieved a market value of $3 trillion, while Tesla regained its $1 trillion mark.

Donald Trump's presidential victory further boosted market confidence, with risk-taking improvement and small-cap stocks recording gains. Meanwhile, inflationary concerns might influence the Federal Reserve's rate decision in 2025, as Bitcoin climbs to $100,000, strengthening crypto stocks like MicroStrategy.

(With inputs from agencies.)