The S&P 500, Nasdaq Composite, and Dow Jones Industrial Average all closed at record highs in a shortened trading session Friday, capping a strong November performance fueled by optimism over President-elect Donald Trump’s victory.
- S&P 500: Closed at 6,032.4 (+0.6%).
- Nasdaq Composite: Up 0.8%.
- Dow Jones Industrial Average: Gained 0.4% (+188 points).
Monthly Gains
- November: All three indices posted gains between 5% and 7%, driven by tech sector strength and optimism surrounding anticipated economic policies.
Tech Stocks Shine
- Chip stocks led the rally, boosted by a Bloomberg report suggesting President Biden’s planned chip equipment restrictions for China might be less stringent than feared.
- NVIDIA (NVDA), ASML (ASML), and Applied Materials (AMAT): Each gained over 1%.
Fed Rate Cuts in Focus
- Markets expect a 25 bps rate cut in December, which would total 100 bps in cuts for 2024.
- Concerns remain over the Fed’s cautious stance on further easing amid persistent inflation.
- The next Federal Reserve meeting is scheduled for Dec. 17-18.
With record-high markets and Federal Reserve comments on the horizon, investor focus will remain on interest rate trends and inflation dynamics heading into 2025.
