There is extreme fear in the market right now due to uncertainties around tariffs, federal layoffs, and sticky inflation.
But the S&P 500 history shows a consistent long-term increase (despite short-term setbacks). With that said, here are some reasons for a bullish case in 2025:
1. Deregulation
2. Tax cuts
3. **US sovereign wealth fund:** [*https://www.whitehouse.gov/presidential-actions/2025/02/a-plan-for-establishing-a-united-states-sovereign-wealth-fund/*](https://www.whitehouse.gov/presidential-actions/2025/02/a-plan-for-establishing-a-united-states-sovereign-wealth-fund/)
4. Continued progress and adoption of AI, self-driving cars, robotics
5. Interest rates coming down (even if by 0.5%)
6. President Trump would not let any extended market downturn under his watch *(example: crypto was down this past week but President Trump just announced "****strategic crypto reserve****" today, causing the crypto to rise back up)*
