Global Markets Experience Mixed Fortunes on Christmas Day
As the world celebrated Christmas, global markets experienced a mixed bag of fortunes. In Asia, Tokyo and Shanghai saw their shares slip, while oil prices rose. The Japanese Nikkei 225 index edged 0.1% lower to 38,997.02, and the Shanghai Composite index lost 0.2% to 3,387.41.
Oil Prices on the Rise
Meanwhile, U.S. benchmark crude oil saw a significant increase, rising 93 cents to $70.17 per barrel. Brent crude, the international standard, also picked up 6 cents to $73.23 per barrel. This upward trend in oil prices is likely to have a ripple effect on the global economy.
Currency Markets See Shifts
In the currency markets, the dollar strengthened against the Japanese yen, rising to 157.37 from 157.11 yen. The euro also saw a rise, increasing to $1.0431 from $1.0397.
Wall Street Sees Gains in Holiday Session
On Tuesday, Wall Street experienced a shortened holiday session, with stocks closing higher. Big Tech stocks led the charge, helping the S&P 500 to a 1.1% gain. The Dow Jones Industrial Average rose 0.9%, while the Nasdaq composite climbed 1.3%. Advancers outnumbered decliners by more than 3-to-1 on the New York Stock Exchange.
Tech Stocks Lead the Way
Several tech stocks saw significant gains, with Broadcom rising 3.2%, Apple gaining 1.1%, and Tesla jumping 7.4% for the biggest gains among S&P 500 stocks. Super Micro Computer also saw a notable increase, climbing 6%.
Other Market Movers
American Airlines shook off an early loss and ended with a 0.6% gain after the airline briefly grounded flights nationwide due to a technical issue. U.S. Steel rose 1.9% a day after an influential government panel failed to reach consensus on the possible national security risks of the nearly $15 billion proposed sale to Nippon Steel of Japan. NeueHealth surged 74.9% after the health care company agreed to be taken private in a deal valued at roughly $1.3 billion.
Historical Trends Suggest Cheerful Season Ahead
As the stock market enters the final days of the year, historical trends suggest a cheerful season ahead. The last five trading days of each year, plus the first two in the new year, have brought an average gain of 1.3% since 1950.
Year-End Performance
So far this month, the U.S. stock market has lost some of its gains since President-elect Donald Trump’s win on Election Day, which raised hopes for faster economic growth and more lax regulations that would boost corporate profits. Despite this, the U.S. market remains on pace to deliver strong returns for 2024. The benchmark S&P 500 is up 26.6% so far this year and remains within roughly 1% of the all-time high it set earlier this month — its latest of 57 record highs this year.
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