Christmas Eve brings a quiet trading day for global markets, but a few headline movers keep investors’ attention.
Asian Markets Show Mixed Performance
Asian shares moved sideways amid holiday-related low volumes. In Tokyo, the Nikkei 225 edged 0.1% higher to 50,407.79, a level that reflects nearly a 30% gain for the year. The Japanese yen slipped to 155.85 from 155.94, while the euro climbed to $1.1786 from $1.1780.
Shanghai’s Composite index rose 0.5% to 3,959.62, marking a modest gain for mainland China. Hong Kong’s exchange was closed for the holiday. Thai and Indonesian stocks slipped, showing a lack of enthusiasm in those markets.
Investors found a boost in China after the People’s Bank of China issued a statement promising to ensure an adequate money supply to support financing, economic growth and inflation targets. Earlier in the week, the central bank had kept its key short-term lending rates unchanged.
U.S. Markets Trade Light on Christmas Eve
The U.S. stock market closed early for Christmas Eve and will remain closed for Christmas on Thursday, leaving the S&P 500, Dow Jones Industrial Average and Nasdaq composite all light on volume. On Wednesday, the S&P 500 gained 0.3% to 6,932.05, the Dow added 0.6% to 48,731.16, and the Nasdaq rose 0.2% to 23,613.31.
The S&P 500 is up more than 17% this year, a climb that reflects the market’s embrace of deregulatory policies from the Trump administration and optimism about artificial-intelligence applications across technology and corporate sectors.
Investors are focusing on the U.S. economy’s direction and the Federal Reserve’s next rate move. Many expect the Fed to hold rates steady at its January meeting.
Economic Data Highlights
The U.S. economy grew at a surprisingly strong 4.3% annual rate in the third quarter, the fastest expansion in two years. Consumer spending remains robust despite high inflation, while retail sales have weakened and the labor market is slowing. The number of Americans filing for unemployment benefits fell last week, remaining at historically healthy levels.
U.S. jobless claims for the week ending Dec. 20 dropped by 10,000 to 214,000 from the previous week’s 224,000, below the 232,000 new applications forecast by analysts surveyed by FactSet.
Corporate Movers
Dynavax Technologies jumped 38.2% after Sanofi announced its acquisition of the California-based vaccine maker in a $2.2 billion deal. The French drugmaker will add Dynavax’s hepatitis B vaccines to its portfolio and a shingles vaccine still in development.
Novo Nordisk’s shares rose 1.8% after U.S. regulators approved a pill version of its weight-loss drug Wegovy. The company remains down almost 40% this year, facing competition from Eli Lilly, whose shares are up 40% this year.
Commodity Prices
U.S. crude oil closed at $58.35 a barrel, while Brent crude finished at $61.80 a barrel.
Key Takeaways
- Asian markets trade mixed, with the Nikkei gaining 0.1% and Shanghai up 0.5%.
- U.S. stocks closed light; the S&P 500, Dow and Nasdaq all gained modestly.
- Dynavax surges 38.2% on Sanofi’s $2.2 billion acquisition.
- U.S. economy grew 4.3% annualized in Q3; jobless claims fell to 214,000.
The day’s quiet trading underscores how holiday schedules can dampen market activity, even as significant corporate and economic news continues to move investor sentiment.
Closing
With Christmas Eve trading complete, markets will resume a full day on Friday. Investors will likely keep a close eye on the Fed’s upcoming meeting and any further corporate announcements before the holiday break.
