The S&P 500 (SPX) is preparing to close out 2024 in a way it seldom has before. The index is set to finish out the year with a more than 20% increase, which comes after a similar increase last year. This will mark the first time the index has seen such strong results since the late 90s.
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This type of event has only happened a few times in the history of the S&P 500, and its comparable precursors. As such, investors are excited about what it means for the index moving forward. If history repeats itself, the index could see another strong increase in 2025, which seems likely with inflation stalling and consumer spending remaining high.
This is despite the S&P 500 slipping 0.22% as of this writing. The index has suffered in December, largely due to the results of this month’s Federal Reserve meeting. That included warnings of slowing interest rate cuts next year, which could negatively affect the index.
Stocks Affecting the S&P 500 Index Today
Turning to the TipRanks heatmap tool, we can see which stocks are weighing on the SPX today. The heatmap is mostly grey, signaling a lack of major movement among stocks as 2024 closes. One notable exception to this is Nvidia (NVDA), with the artificial intelligence (AI) and graphical processing unit (GPU) company’s shares falling 1.45% as of this writing.
How to Invest in the S&P 500
Investors can’t take a direct stake in the S&P 500 as it’s only an index. Instead, they might choose to invest in shares listed on the exchange. Doing so would allow them to benefit from any gains seen in the coming year.
Another option open to traders is buying stakes in exchange-traded funds (ETFs) that track the S&P 500. That includes those betting on and against the index. A popular option worth considering is SPDR S&P 500 ETF Trust (SPY), but there are more ETFs worth considering in the chart below.
