Stock indexes mixed, Nasdaq 100 at record high, Dow Jones falls, Fed likely cut rates

From Nasdaq: 2024-12-11 20:08:00

Stock indexes closed mixed on Wednesday, with the Nasdaq 100 hitting a record high and the Dow Jones falling. US consumer prices in November met expectations, boosting chances of a Fed rate cut next week to 95%. Megacap tech stocks like Apple and Tesla soared, while UnitedHealth Group dropped 5% on legislative concerns.

Interest rates rose as crude prices surged, impacting T-notes. The US Nov CPI report supported a 95% chance of a Fed rate cut next week. European bond yields were mixed, and ECB swaps predict a 100% chance of a rate cut. Stock movers included Broadcom, Alphabet, and Patterson Cos, with strong gains in technology stocks.

Healthcare stocks suffered after reports of potential legislation impacting health insurers owning pharmacies. UnitedHealth Group, CVS, and Cigna closed down over 5%. Walgreens dropped 5% on acquisition doubts. Uber and Lyft fell after GM’s decision, while Hershey rejected a buyout offer. Dave & Buster’s, C3.ai, and others reported losses.

Earnings reports for 12/12 include companies like Broadcom, Costco, and RH. The author had no positions in the mentioned securities. This information is for informational purposes only.



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