• In 2024, the top 10 companies made up 68.1% of the S&P 500's performance, similar to 68.4% in 2023. Excluding the magnificent 7 stocks, the S&P 500 would have returned only +9.8% in 2024, emphasizing the dominant influence of these major companies. _*1

• Recent data implies snack companies could be hurt by the new diabetic/weight loss drugs. Households with a GLP-1 user cut grocery spending by 6% in six months. The biggest drop was in savory snacks (-11%). ₂

• 36% of Americans took on holiday debt, averaging $1,181 (up 14.9% from last year). Of those, 42% regret their spending, but 59% expect to pay it off within four months. ₂

• The U.S. spends about three times more on pharmaceutical drugs than other countries. Consequently, the U.S. makes up 25% of the global economy but 70% of pharmaceutical profits, with an average spending of $1,564.10 per person. ₃

Sources:

1. The Irrelevant Investor - "The Compound and Friends: Dark Matter"
2. MFS - "Beyond the News"
3. WSJ- "Trump Says World Is Free-Riding on U.S. Health Spending. He Has a Point."

*Past performance is not indicative of future performance