Stocks Fall for a 3rd Session Ahead of NYE – US Market Wrap
A banner year for US stocks is coming to an end, as a decline in technology stocks extended a losing streak that began two weeks ago when the Federal Reserve lowered expectations for interest-rate cuts.
It was the third consecutive decline for the S&P 500 and Nasdaq 100, as well as the third time the indexes had fallen more than 1% in eight sessions. Treasuries rose, with the 10-year yield hovering at around 4.54%.
Yields fell further after the Chicago Purchasing Managers’ Index data revealed an unexpected decline. On Monday, data showed that pending sales of US homes increased for the fourth consecutive month in November, reaching their highest level since early 2023. The dollar is poised for its best year since 2015.
This year, the so-called Magnificent Seven cohort of US tech titans has driven a 25% increase in the S&P 500, prompting some to worry that the gains are too concentrated in a small number of companies. Still, few are calling for the rally to end, and none of the 19 strategists polled expect the S&P 500 to fall next year.
