2025 marks the last trading day of the year, with global stock markets poised to record the biggest gain in six years

On December 31, thanks to the Federal Reserve’s rate cuts and a surge in AI investment enthusiasm, the global stock market is expected to achieve its largest annual gain in six years in 2025. With only one trading day left in 2025, the MSCI Global Equity Index has already risen 21% this year. Asian markets are expected to rise for the third consecutive year, potentially marking the best performance since 2017. In 2025, stock prices reached record highs, driven by optimistic expectations for economic growth, corporate earnings, and accommodative monetary policies, which helped the market rebound from the decline triggered by Trump’s tariffs in April. However, as 2026 approaches, investors face high valuation levels, and policymakers are divided on the scope of further easing. Amanda Agati, Chief Investment Officer of Panix Asset Management, said Tuesday, “For the market to continue higher next year, it needs a dovish Federal Reserve.” Looking ahead to the new year, investors have reasons to remain optimistic: over the past 10 years, the MSCI Global Equity Index has averaged a 1.4% increase in January, with six instances of gains. (Jin10)