S&P 500 – 6,909.79 (+0.46%)

Dow Jones – 48,442.41 (+0.16%)

NASDAQ – 23,561.84 (+0.57%)

• U.S. Markets & Economic Growth: U.S. stocks saw that Santa Claus rally this week and rose for a fourth straight session on Tuesday, as artificial intelligence names continued to outperform during a holiday-shortened week. The S&P 500 closed at a record level. 
• Alphabet Clean Energy Acquisition: Alphabet agreed to acquire clean energy developer Intersect for $4.75 billion to secure power infrastructure needed to support the rapid expansion of AI-driven data centers.
• Citadel Capital Returns: Citadel plans to return $5 billion of 2025 profits to investors in early 2026 as part of a strategy to better align capital with future investment opportunities.
• Media Takeover Battle Escalates: Larry Ellison committed $40.4 billion in equity backing to support Paramount Skydance’s bid for Warner Bros. Discovery, intensifying competition with Netflix in a high-stakes media consolidation battle.
• Precious Metals at Record Highs: Gold and silver surged to fresh record levels in 2025, putting both metals on track for their strongest annual performance since 1979.
• FDA Approval of Wegovy Pill: The FDA approved Novo Nordisk’s Wegovy pill, making it the first oral GLP-1 drug cleared for weight loss and significantly expanding access beyond injectable treatments.
• Bond Market & Rates: Treasury yields moved higher, with the 10-year yield rising to 4.18%.
• Asian Markets & China Policy: Asian markets closed higher after China’s central bank held its key policy rate steady at 3.0%, in line with expectations.
• U.S. Dollar Weakness: The U.S. dollar weakened against major global currencies.
• Oil Market Developments: WTI crude oil declined as investors weighed a potential U.S. sale of seized Venezuelan crude alongside renewed Ukrainian attacks on Russian energy infrastructure that could disrupt supply.
• Labor Market Trends: The unemployment rate has risen to 4.6%, while job openings increased to 7.7 million, slightly below the 7.8 million unemployed—suggesting a softening but still resilient labor market.
• GDP Growth Acceleration: The U.S. economy expanded at a 4.3% annualized rate in the third quarter, accelerating from 3.8% growth in the prior quarter.
• Nvidia Supply Update: Nvidia shares rose after reports indicated the company will begin shipping H200 AI chips to China by mid-February, easing supply concerns. The firm also restructured its cloud division to reduce direct competition with major cloud providers.
• Tesla Compensation Ruling: Tesla shares gained after the Delaware Supreme Court reinstated Elon Musk’s 2018 compensation package.
• Micron Earnings Momentum: Micron extended last week’s rally following a strong earnings beat that reinforced optimism around AI-driven memory demand.
• Oracle Analyst Upgrade: Oracle advanced after Wells Fargo reiterated an overweight rating, citing continued strength in cloud and AI-related demand.
• Marvell & AI Infrastructure: Marvell Technology rose as enthusiasm around AI infrastructure spending lifted semiconductor stocks broadly.
• Honeywell Guidance Revision: Honeywell shares fell after the company revised guidance, citing a one-time fourth-quarter charge expected to reduce operating income by approximately $370 million.
• Carnival Earnings & Dividend: Carnival surged after beating earnings expectations and reinstating its dividend, with management highlighting strong travel demand. Rival cruise stocks also moved higher.
• Bitcoin Volatility Watch: Bitcoin futures climbed above $90,000, with roughly $23 billion in bitcoin options set to expire Friday, increasing the potential for near-term volatility.
• Fed Rate Cut Expectations: Markets are pricing in a 19.9% chance of a January rate cut and a 45.9% probability that rates will be lower following the March Fed meeting, according to CME FedWatch.
• Defense Spending Pressure: Huntington Ingalls Industries advanced after reports suggested President Donald Trump plans to pressure defense executives to increase spending on weapons development.

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“Christmas will always be as long as we stand heart to heart and hand in hand.” — Dr. Seuss

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Notable Stocks

• Nvidia (NVDA)
• Tesla (TSLA)
• Micron (MU)
• Oracle (ORCL)
• Marvell Technology (MRVL)

Weekly Notables

FDA Clears First Weight-Loss Pill as Novo Nordisk’s Wegovy Goes Oral

The Food and Drug Administration has approved a pill version of Wegovy, Novo Nordisk’s blockbuster weight-loss medication, marking the first oral GLP-1 drug cleared specifically for obesity treatment. Novo Nordisk said the daily pill is expected to be widely available in January. It joins a fast-growing class of GLP-1 drugs—previously offered only as injections—that were originally developed for diabetes but have shown significant weight-loss benefits. A competing oral GLP-1 from Eli Lilly is also expected to receive approval in the coming months.

Larry Ellison Steps in with $40.4 Billion Backstop to Power Paramount’s Bid for Warner Bros. Discovery

Oracle founder Larry Ellison has agreed to personally backstop $40.4 billion in equity financing to support Paramount Skydance’s proposed acquisition of Warner Bros. Discovery, sparking a rally in both stocks on Monday. The move is designed to address concerns from Warner Bros. Discovery’s board, which last week rejected Paramount’s bid in favor of a competing offer from Netflix, citing doubts about Paramount’s ability to fully finance the deal.

What's Ahead

Trading activity is expected to be lighter than usual, with markets closing early on Christmas Eve and shut entirely on Christmas Day. There are no major events or earnings announcements for the rest of the week.