Stocks rallied on chip and tech support, China plans economic stimulus, rate cut unlikely

From Nasdaq: 2024-12-24 15:57:18

Stocks rallied on Tuesday, with the S&P 500, Dow, and Nasdaq all closing higher. Chip and tech stocks led the charge. China plans to sell $411 billion in special Treasury bonds in 2025 for economic stimulus. T-note yields rose slightly. Philadelphia Fed’s non-manufacturing index fell, while Richmond Fed’s manufacturing index rose. Markets see a 9% chance of a rate cut in January.

Overseas markets were mixed, with Euro Stoxx 50 and Shanghai up, while Nikkei fell. T-note prices hit a 7-month low before recovering. German and UK yields rose. ECB is expected to cut rates in January. US stock movers included Tesla, Amazon, and Meta Platforms. Crypto-stocks rallied with bitcoin. American Airlines recovered from a software glitch. Starbucks workers planned a strike.

Chip stocks led the Nasdaq 100 index higher on Tuesday, with gains from Arm Holdings, Broadcom, and others. Crypto-stocks like Microstrategy and Riot Platforms surged with bitcoin. American Airlines recovered from a software glitch. Starbucks workers planned a strike. Alumis Inc reported earnings on December 26, 2024.



Read more at Nasdaq: Stocks Close Higher on Continued Support From Chip and Tech Stocks