2025: A Year of Ups and Downs in Markets

In 2025, the financial world saw some wild swings. It all started with a surprising move by President Donald Trump. He and his wife launched their own crypto tokens just before the inauguration. This was a first for a U. S. president and raised eyebrows about potential conflicts of interest. The tokens, $Trump and $Melania, didn't fare well. $Trump dropped 90% from its peak, and $Melania fell 98%. AI stocks took a hit when DeepSeek, a Chinese chatbot, entered the scene in January. It rivaled ChatGPT but used cheaper chips. This news wiped out about $1 trillion in value from U. S. tech stocks in a single day. It also made people question the huge investments tech giants are making in AI and whether it's worth it. Crypto markets had a rough time after Trump's inauguration. Bitcoin and Ethereum, the top cryptocurrencies, saw big drops. Bitcoin fell 28% from its peak, and Ethereum plunged 60%. Initially, Trump's win had boosted crypto markets, but that optimism didn't last.The stock market also had a rough patch when Trump announced new tariffs. He called it "Liberation Day" and imposed tariffs on major trading partners. Investors panicked, and the S&P 500 dropped 12% in a week. Trump also had a feud with the Fed Chair, Jerome Powell. His comments about Powell caused stock sell-offs and raised concerns about inflation. Tesla had a rollercoaster year. After a bad start, the stock rebounded over 100% from its low in April. This turnaround came after Elon Musk stepped back from a government role and bought more Tesla stock. Trade deals between the U. S. and China also helped stocks reach new highs. Gold, silver, and copper prices soared to record highs. Investors turned to these metals as a safe bet against risk. Gold and silver are on track for their best year since 1979, while copper is having its best year since the Great Financial Crisis.