The Christmas week kicked off with some Big Tech tailwinds, though gains were kept in check as traders flocked to safe-haven assets. Nvidia (NVDA) H200 chip buzz triggered another wave of optimism for the Nasdaq Composite (IXIC), and delayed gross domestic domestic product (GDP) data indicated the U.S. economy grew at a much faster-than-anticipated 4.3% for the third quarter, while durable goods orders fell 2.2% in October.
Wednesday's shortened Christmas Eve session delivered early jobs data that came in below estimates. Hopes for a "Santa Claus" rally looked grim at first glance, but the S&P 500 Index (SPX) scored a record close, while the Dow Jones Industrial Average (DJI) added triple digits. The S&P 500 eked out another record Friday morning, though all three indexes struggled to stay above breakeven in the afternoon. For the week, each index eyed a healthy win.
2 Drugmakers Enjoying FDA Buzz
Several drug stocks made headlines, including Biohaven (BHVN), after its major depressive disorder treatment failed to meet the primary objective of a phase 2 study. Novo Nordisk (NVO) managed to get clearance from the Food and Drug Administration (FDA) for its GLP-1 pill, while Vanda Pharmaceuticals (VNDA) will seek approval for its antibody psoriasis treatment.
Tech Stocks Continue to Make Noise
Bulls have been loyal to Nvidia stock amid its volatile run on charts, while videogame maker Electronic Arts (EA) eyed a stakeholder meeting. Tesla (TSLA) took out more record highs, and buyout talks were finalized between Dynavax Technologies (DVAX) and Sanofi (SNY). Micron Technology (MU) also extended its record-breaking run.
New Year's Week Hosts Fed Minutes
There will be little to browse next week, though a few economic reports will trickle in. Most notable will be November's pending home sales and minutes from December's Federal Open Market Committee (FOMC) meeting. Markets will operate as normal on New Year's Eve, but close for New Year's Day.
In the meantime, be sure to check out Senior V.P. of Research Todd Salamone's take on how the SPX could remain range-bound for the last days of 2025. You can also decide whether or not trust "Dow Theory" with help from Senior Quantitative Analyst Rocky White.
