Merry Christmas and Goodbye 2024
This post is served with the purpose of bringing some useful information about the global economy
It’s the most beautiful time of the year. Merry Christmas!!!
This is the final week of 2024, and before entering the year of chaos 2025 with Trade War, Geopolitical Conflicts, and The potential rise of Inflation, I would like to show my appreciation toward this wonderful-than-expected year as I have gained a lot of experiences and perspectives as well as pains from different circumstances in Economy and Life. However, I will not take those lessons for granted and consider them historically when I make my decisions for the incoming year.
There are some key themes and lessons in my view in 2024 that are worth to look back:
Bitcoin reached the new highest milestone, $100,000
S&P500 climbed up to 6,000 for the first time
Fed has cut the Fund Rate 3 times this year by 1%, from 5,5% to 4,5%.
China has been experiencing one of its worst years with High Accommodation Price, Economic Slowdown with Low Rate of Consumers Spending, Trade War with the US.
The strength of the US Dollar and weaknesses from other currencies, specifically in Asia including Japan (yen), Vietnam (vnd), Korean (won), etc
(Geo)Political Tension: Russia and Ukraine; Korea president announced Material Law; Syrian government fell in hands of the Revolution Army; France got in trouble with high debts, etc
Investors have gone through every phrase in the Emotional Cycle this year
Stock Prices Follow Earnings Growth
Nvidia is a typical illustration for this lesson as its stock price as well as its valuation has rose dramatically in 2024 due to the massive earning growth in AI demand.
The US Market looks expensive while International Markets are oppositely attractive
Donald Trump is elected as the 47th President of the United State
Technology Information, the winner of the year 2024
Nothing guarantee that 2025 would be the greatest year nor worst of the markets; however, I firmly believe that we can gain returns from multiple sources if our portfolio is diverse and invested properly with risk management and optimization, hence making the upcoming year fully excited as well as challenged. As the year is coming to the end, I wish everyone a healthy life and a wealthy mind. Farewell 2024!!!