Jurrien Timmer discusses why the US stock market’s rally may persist through 2025, driven by a mix of economic resilience and structural shifts.

Jurrien Timmer, Director of Global Macro at Fidelity, believes the US stock market could maintain its growth momentum into 2025. Despite market uncertainties, Timmer points to solid economic underpinnings that could fuel further gains. Factors such as improving corporate profits, stabilising inflation, and a supportive monetary policy environment are seen as critical drivers of this extended rally. Timmer also highlights a shift in market leadership, with cyclical sectors and value stocks potentially taking the forefront as the rally matures. He argues that long-term investors must remain focused on broader trends rather than short-term volatility, as the market is transitioning into a phase of sustainable growth rather than speculative overreach. Additionally, structural dynamics like demographic shifts and technological advancements are expected to play a significant role in sustaining economic activity and innovation. Diversification remains essential to navigate a market that balances growth opportunities with inevitable risks. Timmer underscores the importance of discerning between transient noise and lasting economic signals, making this rally a potential turning point for forward-looking strategies.