Market Recap (12/15/24)
Market Recap of the Week of Dec 9, 2024 - Dec 13, 2024
Source: Apple Stocks Application
Overall Market Trends:
Stocks retreated last week, with the exception of the NASDAQ Composite. The New York Stock Exchange Composite and the Dow Jones Industrial Average posted weekly losses for the second straight week, losing 381 points (-1.89%) and 806 points (-1.81%), respectively. The S&P 500 also declined this week, falling 38 points (-0.62%). On the other hand, the NASDAQ Composite rose 72 points (+0.36%).
Indices fell on Monday after a Chinese regulator announced they will be launching an investigation into Nvidia (NASDAQ: NVDA) for violating the country’s antimonopoly law. This caused the stock to decline just under 3%. Fellow chip-maker Advanced Micro Devices (NASDAQ: AMD) also fell around 5.6% after they were downgraded from buy to neutral by Bank of America.
Stocks continued to slide during Tuesday’s trading session. Oracle (NYSE: ORCL) fell 6.7% after submitting weaker-than-expected earnings. Alphabet Inc. (NASDAQ: GOOG), however, rose 5.6% after Google made a major breakthrough in the quantum computing realm, unveiling a new chip. Nvidia continued to decline on Tuesday.
The NASDAQ soared on Wednesday, surpassing the 20,000 mark milestone. Alphabet Inc. continued to rise on Wednesday. Meta Platforms, the parent company of Facebook and Instagram, rose roughly 3% on Wednesday after news that the United States TikTok ban was moving forward. The Consumer Price Index (CPI), one of the Fed’s key inflation gauges, rose 0.3% in November, in-line with expectations. This report caused bull market leaders, such as Nvidia (NASDAQ: NVDA) and Tesla (NASDAQ: TSLA), to rise 3% and 6% respectively. Fed funds futures trading data is now projecting a 95% chance of a rate cut at the December public policy meeting.
Stocks fell on Thursday after warm inflation data was reported. The producer price index (PPI), another major inflation gauge for the Fed, rose 0.4% in November, double the expected 0.2% increase. Despite this, the Fed funds futures trading data was left unchanged.
The market faced mixed results on Friday, though finishing the day relatively even, with the Dow marking its seventh straight losing day. Nvidia (NASDAQ: NVDA), Meta Platforms (NASDAQ: META), and Amazon (NASDAQ: AMZN) all declined. However, Broadcom (NASDAQ: AVGO) surpassed the $1 trillion valuation mark after the company soared over 24% on Friday after reporting strong earnings as well as announcing that the company’s artificial intelligence revenue had increased 220% year-over-year.
Past Earnings Report:
Adobe (NASDAQ: ADBE) plummeted roughly 13% on Thursday after releasing weaker-than-expected earnings.
Looking Towards the Future
Upcoming Important Economic Events:
Monday: Empire State manufacturing survey; S&P flash U.S. services PMI
Tuesday: U.S. retail sales; Home builder confidence index
Wednesday: FOMC interest-rate decision; Fed Chair Powell press conference
Thursday: Initial jobless claims; GDP (second revision); Philadelphia Fed manufacturing survey
Friday: Personal Consumption Expenditures (PCE); Core PCE
Future Earnings Reports: