Stock indexes on Wall Street had a mixed finish on Thursday, with the S&P 500 falling less than 0.1% after wavering between small gains and losses. The Dow Jones Industrial Average added 0.1%, while the Nasdaq composite fell 0.1%. Trading volume was lighter than usual as U.S. markets reopened following the Christmas holiday. Semiconductor giant Nvidia slipped 0.2% along with Meta Platforms, Amazon, and Netflix, which all fell around 0.7% to 0.9%. On the other hand, some tech companies like Broadcom, Micron Technology, and Adobe saw gains.
Health care stocks performed well, with CVS Health and Walgreens Boots Alliance among the top gainers on the S&P 500. Several retailers also saw gains, including Target, Ross Stores, Best Buy, and Dollar Tree. Traders were paying close attention to see if retailers had a strong holiday season, as the day after Christmas is traditionally one of the biggest shopping days of the year. Consumers typically take advantage of sales and promotions to use gift cards and find bargains.
U.S.-listed shares in Honda and Nissan rose significantly, with the Japanese automakers announcing talks to combine their companies. Overall, the S&P 500 fell slightly, the Dow added points, and the Nasdaq fell slightly. In terms of the labor market, U.S. applications for unemployment benefits remained steady, though continuing claims rose to the highest level in three years, according to the Labor Department. Treasury yields mostly fell in the bond market, with the 10-year Treasury slipping to 4.58%.
Despite major European markets being closed along with Hong Kong, Australia, New Zealand, and Indonesia, trading in the U.S. was expected to be subdued with a thin slate of economic data. However, historical trends show that the U.S. markets typically experience a boost at the year’s end, with the last five trading days of the year and the first two in the new year historically bringing gains. Despite concerns over economic policies, the U.S. market remains on track to deliver strong returns in 2024, with the S&P 500 up 26.6% for the year and near its most recent all-time high. Wall Street will be looking forward to upcoming economic reports on pending home sales, home prices, U.S. construction spending, and manufacturing activity.
