Inflation, elections and war dominated 2024

Dec 23 (Reuters) – Inflation has fallen in most of the world’s economies in 2024, but voters don’t care.

Enraged by the massive rise in prices of everything from eggs to energy over the past few years, parties have punished incumbent parties at almost every opportunity. inflation pain continues, and the ruling parties took the blame in election after election.

Higher costs in the US helped Donald Trump He won a second term as president four years later after being voted out of the White House and then falsely claiming election fraud. His supporters have failed in their attempts to reverse Trump’s defeat. Raid on the US Capitol Buildingopens new tab This year, they made their voices heard at the ballot box, paving the way for a new American leadership that is likely to test democratic institutions at home and relationships abroad.

Inflationary anti-government sentiment also led to the formation of new governments in Britain, Botswana, Portugal and Panama. South Korea Voters controlled President Yoon Suk Yeol, bringing the opposition to power in parliament. In early December, the president declared martial law; this was a move that the National Assembly quickly reversed. The elections also shook France, Germany, Japan and India.

The only place where there is no change: Russia Vladimir Putin He was re-elected president with 88% of the vote, a record in post-Soviet Russia.

Moscow continued to wage its war against him Ukrainianis making significant regional gains. The question is what impact Trump’s return to the White House will have on the conflict. He promised to end the war in one day. Many in Ukraine and elsewhere in Europe fear this would mean siding with Putin and freezing the status quo.

in the Middle EastIsrael continued the war Gaza and expanded it into Lebanon, where it left the Iran-backed Hezbollah damaged and in disarray. A well-coordinated group of rebel groups is toppled in Syria Bashar Assad and now he is trying to rule the country.

In business, companies around the world are grappling with how to adapt to artificial intelligence. The dominance of technology companies for investors can be summed up by this simple fact: Seven technology companies, called the Magnificent Seven, now account for more than a third of the S&P 500’s market value.

Elon Musk, who manages Tesla, one of these companies, is a consultant and financial supporter To President-elect Trump. Looking ahead, this combination of technological fraternity mojo and political power may well define 2025.

Written by Simon Robinson; Edit: Lisa Shumaker