In 2024, U.S. stocks, particularly large-cap equities, demonstrated remarkable performance, with the S&P 500 surging 25% despite a 2.4% decline in December. This trend marks the 16th consecutive year of U.S. stocks outperforming international markets, with U.S. equities now more than three standard deviations above the historical mean of outperformance. UBS forecasts that the rally in artificial intelligence (AI) and broader markets will continue into 2025, although volatility in the S&P 500 may remain elevated. Analysts suggest that 2025 will be a year for stock pickers among U.S. retail investors, as the dominance of U.S. stocks over global markets may face challenges.