• Investing
  • Stock
  • Editor’s Pick
  • Economy
The Significant Deals
Stock

Stocks rise, Nasdaq at record high as Fed decision, data awaited

by December 16, 2024
written by December 16, 2024

By Lisa Pauline Mattackal and Purvi Agarwal

(Reuters) – The S&P 500 and the Nasdaq rose on Monday, as investors looked ahead to an anticipated Federal Reserve interest rate cut later in the week as well as several key data releases for clues on monetary policy next year.

The Fed’s final rate decision of the year is due on Wednesday, with traders pricing in an over 99% chance of a 25 basis point rate reduction, as per CME’s FedWatch.

Most megacap and growth stocks traded higher, with Google-parent Alphabet (NASDAQ:GOOGL) up 3.8% and Amazon.com (NASDAQ:AMZN) rising 1.3%, boosting communication services and consumer discretionary sectors about 1.5% each.

Both the Nasdaq 100 and the Nasdaq Composite touched fresh record highs, while the small-cap Russell 2000 jumped 0.8%.

“The Nasdaq 100 has hit a fresh record high, and small-caps are in demand, as the final year-end chase gets underway, this is the ‘Santa rally’ almost right on cue,” said Chris Beauchamp, chief market analyst at online trading platform IG.

Ahead of the Fed decision, investors awaited Tuesday’s retail sales data and other key releases scheduled throughout the week.

With a rate cut all but priced in, investors’ primary focus will be on policymakers’ outlook for next year as bets moderate on the pace of rate cuts amid strong economic growth and persistent inflation.

“The S&P’s year-to-date 26.86% gain far exceeds the average 10.05% annual gain since 1995 … this jampacked week of important economic figures along with the FOMC meeting could be the game changer,” said Mark Malek, CIO at Siebert Financial.

Stocks have overall had a bumper run in 2024 as gains in artificial intelligence-related companies, the start of the Fed’s rate cutting cycle and expected pro-business policies from Donald Trump’s incoming administration have lifted equities.

S&P Global’s December flash PMI showed manufacturing activity stood at 48.3, while services activity was at 58.5, above estimates of 55.7.

At 12:13 p.m. the Dow Jones Industrial Average fell 5.04 points, or 0.01%, to 43,823.02, the S&P 500 gained 24.04 points, or 0.40%, to 6,075.13 and the Nasdaq Composite gained 181.44 points, or 0.91%, to 20,108.16.

Yields on the benchmark 10-year Treasury briefly eased from an over three-week high before creeping back above 4.4%.

Honeywell International (NASDAQ:HON) gained 3.3% after the industrial conglomerate said it was exploring a separation of its aerospace business.

Tesla (NASDAQ:TSLA) leapt 5.4% after Wedbush Securities raised its price target on the stock to a Wall Street high of $515.

Crypotocurrency stocks rose as bitcoin jumped above $106,000 after Trump suggested he plans to create a U.S. bitcoin strategic reserve, and bitcoin buyer MicroStrategy was set to join the Nasdaq 100 index.

MicroStrategy jumped 5%, while bitcoin miner MARA Holdings gained 8.8%.

Super Micro Computer (NASDAQ:SMCI), among those set to be removed from the Nasdaq 100, dropped 6.9%.

Advancing issues outnumbered decliners by a 1.13-to-1 ratio on the NYSE and a 1.34-to-1 ratio on the Nasdaq.

The S&P 500 posted 12 new 52-week highs and 14 new lows, while the Nasdaq Composite recorded 85 new highs and 141 new lows.

This post appeared first on investing.com
0 comment
0
FacebookTwitterPinterestEmail

previous post
Shein weighs sale of less than 10% of company in London IPO, sources say
next post
FTX’s Chapter 11 Plan to Go into Effect on January 3rd, 2025

You may also like

BASF results down on impairments, restructuring

January 27, 2025

European chipmakers slump as traders gauge DeepSeek AI...

January 27, 2025

Nasdaq futures tumble as China’s AI push rattles...

January 27, 2025

China Vanke’s CEO, chairman resign amid growing liquidity...

January 27, 2025

Fuji Media, rocked by sexual misconduct allegations, says...

January 27, 2025

Italy’s MPS shares fall ahead of Mediobanca board...

January 27, 2025

British Land stock drops following stake sale

January 27, 2025

UMG shares rally after new multi-year pact with...

January 27, 2025

BASF shares indicated 3% lower as impairments drag...

January 27, 2025

Ryanair cuts 2026 traffic forecast amid ongoing Boeing...

January 27, 2025
Fill Out & Get More Relevant News








    Stay ahead of the market and unlock exclusive trading insights & timely news. We value your privacy - your information is secure, and you can unsubscribe anytime. Gain an edge with hand-picked trading opportunities, stay informed with market-moving updates, and learn from expert tips & strategies.

    Recent Posts

    • Trump implies government could cut contracts and subsidies to Musk’s companies

      June 7, 2025
    • Procter & Gamble to cut 7,000 jobs as part of broader restructuring

      June 6, 2025
    • Shein and Temu see U.S. demand plunge as loophole for cheap goods closes

      June 6, 2025
    • Shein and Temu see U.S. demand plunge as loophole for cheap goods closes

      June 5, 2025

    Categories

    • Economy (245)
    • Editor's Pick (3,646)
    • Investing (505)
    • Stock (6,426)

    Latest News

    • Trump implies government could cut contracts and subsidies to Musk’s companies
    • Procter & Gamble to cut 7,000 jobs as part of broader restructuring

    Popular News

    • US companies rush to bond market in fundraising flurry
    • Stellantis will move forward on plan to build new mid-size truck in Illnois

    About The Significant deals

    • Privacy Policy
    • Terms & Conditions

    Copyright © 2025 thesignificantdeals.com | All Rights Reserved

    The Significant Deals
    • Investing
    • Stock
    • Editor’s Pick
    • Economy