• The Dow and S&P hit records. Investors are shrugging off tariff concerns as the major indexes all rallied on Tuesday. The S&P 500 gained nearly 0.6% to hit a record close. The Dow Jones Industrial Average reversed earlier losses to finish the day up around 0.3% and claimed another back-to-back record. The tech-heavy Nasdaq Composite also jumped roughly 0.6%. President-elect Trump pledged late Monday to impose big tariffs on the US's biggest trading partners on his first day in office.
• Major car makers dropped on the tariff news. Both domestic and abroad car stocks including Honda Motor, Nissan, General Motors, and Ford, fell on the heels of Trump's "America First" push.
• Minutes from the Fed came in. Wall Street digested the release of the minutes from the Federal Open Market Committee meeting ended Nov. 7, which showed officials prefer a gradual pace of interest rate cuts if the economy remains on solid footing.
• Another important inflation gauge is today. The October reading of the Personal Consumption Expenditures (PCE) index, the Fed's preferred inflation gauge, is on deck for today.
• There is increased optimism about the labor market. On Tuesday, fresh data from the Conference Board's Consumer Confidence survey for the month showed the difference between respondents who believe jobs are "plentiful" and those saying jobs are "hard to get" rose for the second straight month. The metric, known as the labor market differential, rose to a reading of 18.2% in November, an increase from the cycle low of 12.7% seen in September. The upbeat labor market outlook helped propel consumer confidence to a reading of 111.7 in November, above the 109.6 seen in October and the highest level in more than a year.
• Amgen tumbled on weight loss data. Shares of Amgen dropped about 12% on weight-loss data that disappointed Wall Street. The company reported 20% weight loss from the drug MariTide in patients after 52 weeks in a phase II study. Market leaders Eli Lilly and Novo Nordisk have products that provide weight loss between 14% and 24%. 
• Rivian stock soared. Rivian shares gained over 4% in afternoon trade. The company announced on late Monday that it won a “conditional commitment” from the Department of Energy (DOE) for a $6.6 billion loan.
• Crowdstrike stock dipped. The company saw losses on Tuesday after a dismal earnings forecast.
• Bitcoin lost steam to get to $100,000. The digital coin retreated about 2% on Tuesday. Coinbase, which allows crypto trading on its platform, saw shares fall roughly 2%.
• New home sales crumbled. Sales of new single-family homes dropped in October to the lowest level in about two years as mortgage rates remained elevated during the month.

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"Some participants noted that the Committee could pause its easing of the policy rate and hold it at a restrictive level if inflation remained elevated, and some remarked that policy easing could be accelerated if the labor market turned down or economic activity faltered." 

-Fed Minutes 

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In the Spotlight

Best Buy Disappoints in its Earnings Report

For the 12th consecutive quarter, Best Buy posted negative same-store sales growth, down 2.9% year over year versus estimates of a 0.92% decline. Net sales of $9.45 billion and adjusted earnings per share of $1.26 also missed expectations of $9.63 billion and $1.29 per share, respectively.

According to CEO Corie Barry, the miss was contributed to "a combination of overall ongoing macro uncertainty, customers waiting for deals and sales, and distraction during the run-up to the election, particularly in nonessential categories."

Dell Issues Downbeat Guidance for Q4

Dell forecast fourth-quarter revenue below Wall Street expectations on Tuesday, attributed to a weaker demand for its traditional PCs. The stock fell more than 10% in extended trading. Dell forecast fourth-quarter revenue between $24 billion and $25 billion. The average analyst estimate is $25.57 billion, according to data compiled by LSEG. "The entire PC market is in a transition period and moving towards on-device AI functionality which still isn't that defined and is expected to solidify in 2025," Gadjo Sevilla, senior analyst for AI and Tech at Emarketer, said.