Miner Company
The S&P 500 Helped Trump Make History Last Year — 2026 Is Telling a Very Different Story
The S&P 500 delivered 28% returns in 2025, the second-strongest first-year presidential market performance in 129 years, powered by mega-cap tech stocks and AI infrastructure spending exceeding $340 billion in capital expenditures; however, the top 10 companies now account for 38% of index market cap, concentrating gains in a narrow group. Energy (+30.7% YTD) is leading 2026 as markets shift from momentum-based investing to fundamental analysis of profitability, margins, and free cash flow growt
The S&P 500 delivered 28% returns in 2025, the second-strongest first-year presidential market performance in 129 years, powered by mega-cap tech stocks and AI infrastructure spending exceeding $340 billion in capital expenditures; however, the top 10 companies now account for 38% of index market cap, concentrating gains in a narrow group. Energy (+30.7% YTD) is leading 2026 as markets shift from momentum-based investing to fundamental analysis of profitability, margins, and free cash flow growth. The market faces headwinds from elevated valuations at 24x forward earnings versus 19x historical average and sticky core inflation near 3.5% despite Fed caution on rate cuts.