Stocks continue to celebrate Trump win. Extra kicker comes from US central bank cutting interest rates 0.25% as expected | Nasdaq 100 +1.5% at new record. ASX200 +1% near record

– It’s the second time the US central bank cut rates this year with the bank last cutting rates by 0.5% in September.

– And this is positive for stocks. Why? Historically the stock market rallies 6 months after US interest rates cuts.. as rate cuts promote economic growth, consumer and business spending and boosts company profitability.

– While in Australia the ASX200 rose 1%. It’ just a 1% puff away from hitting its record high with mining companies up the most.

Stocks are on a bullish runway for 2025. Why? Well the US economy is growing quicker than expected. The Fed alluded to that overnight. The US is cutting interest rates. We also have US company earnings growing more than expected (+7.1% in the quarter). And now Trump is expected to reduce regulation. While China is stimulating its economy. So tick tick tick. This a great concoction for sharemarket growth. One investment advisory group, Evercore ISI, see the S&P500 gaining 11% in six months.

The Fed Chair warned overnight that inflation is sticky. And he said he cannot rule out a rising interest rates. One of the factors he's considering would be Donald Trump’s new policies. They'll create greater economic growth and this means higher inflation.  So if inflation is too hot to handle. The central bank could rise interest rates. And this might cause market bumps.  So for you to preserve your wealth, amid the bullish but bumpy 2025 runway,  you may want to consider potentially taking profits along the way from indices and stocks that you're invested in.