- The U.S. stock market reached $63.8 trillion in 2024, surpassing expectations with a $10 trillion increase.
- Nasdaq surged 30% in 2024, driven by tech giants Apple, Microsoft, and Nvidia’s growth.
- Nvidia, Tesla, and Microsoft led tech stock gains, boosting market dominance with impressive revenue jumps.
In an astonishing milestone, the U.S. stock market reached a valuation of $63.8 trillion in 2024. Surpassing expectations, this growth added over $10 trillion to its value, surpassing the combined GDP of several major economies. Such an increase highlights the resilience and dominance of the U.S. financial landscape.
Over the past four and a half years, the market’s capitalization has doubled, leaving its global counterparts behind. The combined stock markets of China, Hong Kong, and Europe trail by a significant 50%. The “Magnificent Seven” tech giants drive this extraordinary growth, collectively worth more than Europe’s entire stock market.
Tech Surge Propels Nasdaq to 30% Increase
The S&P 500 is poised to close 2024 with a 24.3% increase, mirroring last year’s 24.2% rise. Back-to-back years of 20%+ growth have not been seen since the late 1990s. Tech leaders Apple, Microsoft, and Nvidia played key roles in this rally. Nvidia benefited from AI breakthroughs, driving a 30% revenue jump and a stock price surge.
Tesla followed suit, delivering a record 500,000 vehicles in Q3 and revolutionizing battery technology. The Nasdaq Composite posted a stellar 30% annual increase in 2024, while the Dow Jones Industrial Average remained steady, benefiting from the U.S. economy’s adaptability. Amid inflation and fluctuating interest rates, traditional and innovative companies thrived.
MicroStrategy emerged as a notable player with its bold cryptocurrency investment. Holding over 444,000 Bitcoins, the company saw significant stock gains post-election but experienced volatility due to Bitcoin’s price swings. Such daring strategies added intrigue to 2024’s financial landscape.
Tech Giants Propel Market Growth to New Heights
The “Magnificent Seven” tech firms drove much of the market’s growth. Nvidia’s AI advancements boosted its stock to $134.37, with a 30% revenue rise. With a stock price of $404.57, Tesla achieved a 20% revenue jump through record-breaking vehicle deliveries and advanced batteries.
Microsoft soared as Azure cloud revenue skyrocketed, achieving a 25% annual revenue boost and a stock price of $421.18. Apple, fueled by strong iPhone sales, closed the year at $250.21. Alphabet and Amazon also excelled, driven by cloud computing, advertising, and e-commerce growth.
Amazon’s stock rose to $219.27, supported by a surge in Prime memberships and 30% growth in AWS revenue. Alphabet ended the year at $190.22, with recovering ad spending and robust Q3 results cementing its position. These numbers highlight tech’s market dominance.
The Federal Reserve’s announced two planned rate cuts for 2025 received mixed reactions, yet the market remained strong. Corporate profits soared, and businesses swiftly adapted to economic shifts. Despite Bitcoin’s downturn, the stock market’s momentum stayed unstoppable.
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