Today’s Market

United States

The U.S. stock market had a positive day overall:

• S&P 500 rose 0.2% to close at a new record high of 6,047.15 points

• Nasdaq surged 1% to a record close of 19,403.95 points

• Dow Jones Industrial Average declined 0.3% to 44,782 points

Sector Performance: The technology and consumer discretionary sectors led the gains, with the Technology Select SPDR (XLK) rising by 1%. However, seven out of the eleven sectors in the S&P 500 finished in negative territory, indicating a mixed market sentiment.

Individual Stocks: AT&T stood out with a significant gain of 4.3% after raising its full-year profit forecast and announcing a $10 billion stock buyback plan.

Economic Data: Investors digested new economic data, including a report showing a slight increase in job vacancies at the end of October compared to the previous month. This information comes ahead of the crucial monthly jobs report expected later this week, which could influence the Federal Reserve's decisions on interest rates

Commodities and Currencies

• Gold fell 0.15% to $2,639 per ounce

• WTI crude oil futures stabilized around $68 per barrel

• The U.S. dollar index rallied, weakening most G10 currencies

• Euro fell 1.1% against the dollar amid France's political crisis

Overall, while some markets reached new highs, others faced challenges due to political uncertainties and economic factors. The technology sector continued to drive gains in several markets, particularly in the U.S.

Market Context

The current market performance follows an exceptionally strong November, during which all three major indices achieved new record closing levels. The Dow and S&P 500 posted gains of 7% and 5% respectively last month, marking their strongest performances of the year.

Investors continue to monitor several key factors:

1. Potential trade policies: Concerns over possible new tariffs proposed by President-elect Donald Trump on imports from Canada, Mexico, and China.

2. Federal Reserve policy: Speculation about potential interest rate cuts, with some investors anticipating a quarter-point reduction in December.

3. Manufacturing activity: The ISM manufacturing PMI rose to a five-month high of 48.7 in November, although still indicating contraction in the sector.

Looking Ahead

As the year-end approaches, market participants remain cautiously optimistic. The S&P 500 is on track for one of its best years since 2000, having climbed 26.8% year-to-date. However, investors will be closely watching upcoming economic reports, particularly the monthly employment statistics, for further insights into the health of the U.S. economy and potential impacts on monetary policy decisions.

Market-Moving Headlines

Salesforce leads as market rallies; Nasdaq hits high.

Stocks slightly rise as traders await economic data.

South Korea's currency tumbles amid political unrest.

Cyclical stocks set for strong gains, says BofA.

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