The Stock Market Is Doing Something Witnessed Only 3 Times in 153 Years -- and History Is Very Clear What Happens Next

Group 1 - The S&P 500 has shown significant gains of 24% in 2023 and 23% in 2024, indicating a strong bull market rally with record levels recently achieved [1] - Growth stocks, particularly those involved in the artificial intelligence (AI) sector, are leading the market due to investor excitement about the technology's potential, with forecasts suggesting the AI market could reach trillions in the early next decade [2] - The Federal Reserve's recent interest rate cuts are beneficial for companies and consumers, supporting growth stocks and the overall stock market [3] Group 2 - Despite a strong market, concerns arose earlier in the year regarding President Trump's tariff plans, which initially caused stock declines; however, flexibility in tariff implementation and corporate adaptability restored investor confidence [5] - Strong corporate earnings have contributed to market optimism, with 79% of S&P 500 companies exceeding revenue estimates and over 80% surpassing earnings forecasts in Q2, significantly above the historical average of 60% [6] - The S&P 500 has achieved multiple record highs, driven by optimism in AI stocks and an improving economic environment [8]