It’s Been a Whale of a Year
Key Takeaways
After a 26% total return from the S&P 500® Index in 2023, few predicted 2024 would deliver another big year of gains for U.S. stocks. But it did.
Not only did the S&P 500 post a 25% return for the year, but the index reached 61 new all-time highs. Together, 2023 and 2024 form the best two-year period for U.S. stocks since the late 1990s.
That’s great news for investors, but it just scratches the surface of their experience throughout 2024. Figure 1 on the next page provides additional perspective, complete with the full-year cumulative return of the S&P 500 and various market, economic and pop culture headlines.
This illustration reminds us of how economic uncertainties, the November election, geopolitical tensions and other factors challenged investors. Even those all-time market highs likely contributed to anxiety, as some investors fear they indicate a possible correction ahead. Ultimately, we believe the year provided a lesson in maintaining discipline and a long-term focus.