{"id":48586,"date":"2024-12-18T19:01:43","date_gmt":"2024-12-18T19:01:43","guid":{"rendered":"https:\/\/thestockmarketwatch.com\/stock-market-news\/stock-market-recap-wall-street-rises-as-fed-decision-looms\/48586\/"},"modified":"2024-12-18T19:01:43","modified_gmt":"2024-12-18T19:01:43","slug":"stock-market-recap-wall-street-rises-as-fed-decision-looms","status":"publish","type":"post","link":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/stock-market-recap-wall-street-rises-as-fed-decision-looms\/48586\/","title":{"rendered":"Stock Market Recap: Wall Street Rises as Fed Decision Looms"},"content":{"rendered":"<p>On Wednesday, December 18, 2024, U.S. stock markets showed resilience, with major indexes climbing higher as investors eagerly awaited the Federal Reserve&#8217;s final interest rate decision of the year. The anticipation of potential rate cuts and the Fed&#8217;s outlook for 2025 dominated market sentiment, driving a cautiously optimistic trading session.<\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/stock-market-recap-wall-street-rises-as-fed-decision-looms\/48586\/#Market_Performance_Indexes_Rebound\" >Market Performance: Indexes Rebound<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/stock-market-recap-wall-street-rises-as-fed-decision-looms\/48586\/#Fed_Watch_All_Eyes_on_Powell\" >Fed Watch: All Eyes on Powell<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/stock-market-recap-wall-street-rises-as-fed-decision-looms\/48586\/#Key_Stocks_in_Focus\" >Key Stocks in Focus<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/stock-market-recap-wall-street-rises-as-fed-decision-looms\/48586\/#Sector_Performance_and_Market_Trends\" >Sector Performance and Market Trends<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/stock-market-recap-wall-street-rises-as-fed-decision-looms\/48586\/#Looking_Ahead_Market_Catalysts\" >Looking Ahead: Market Catalysts<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/stock-market-recap-wall-street-rises-as-fed-decision-looms\/48586\/#Why_Was_the_Market_Up_Today\" >Why Was the Market Up Today?<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Market_Performance_Indexes_Rebound\"><\/span>Market Performance: Indexes Rebound<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>As of the market close, the major U.S. stock indexes posted gains:<\/p>\n<p>&#8211; The <b><a href=\"https:\/\/stockmarketwatch.com\/indices\/dowjones\/today\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Dow Jones Today\">Dow Jones<\/a> Industrial Average<\/b> rose 0.42% to 43,633.01, breaking its nine-day losing streak\u2014the longest since 1978.<br \/>&#8211; The <b><a href=\"https:\/\/stockmarketwatch.com\/indices\/sp500\/today\" data-internallinksmanager029f6b8e52c=\"3\" title=\"snp500 today\">S&#038;P 500<\/a><\/b> advanced 0.35% to 6,071.85, inching closer to its recent record high.<br \/>&#8211; The <b>Nasdaq Composite<\/b> climbed 0.19% to 20,147.39, buoyed by tech sector strength.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Fed_Watch_All_Eyes_on_Powell\"><\/span>Fed Watch: All Eyes on Powell<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The day&#8217;s trading was largely influenced by anticipation of the Federal Reserve&#8217;s announcement, scheduled for 2:00 PM ET. Market participants widely expected a 25 basis point rate cut, which would bring the target federal funds rate to a range of 4.25% to 4.50%.<\/p>\n<p>However, the real focus was on the Fed&#8217;s Summary of Economic Projections (<a href=\"https:\/\/thestockmarketwatch.com\/stock\/?stock=SEP\">SEP<\/a>) and Chairman Jerome Powell&#8217;s press conference. Investors were keen to glean insights into the potential rate path for 2025, with current market expectations slightly more hawkish than the Fed&#8217;s previous projections.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Key_Stocks_in_Focus\"><\/span>Key Stocks in Focus<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Several stocks made notable moves throughout the trading day:<\/p>\n<p>&#8211; <b>Nvidia (<a href=\"https:\/\/thestockmarketwatch.com\/stock\/?stock=NVDA\">NVDA<\/a>)<\/b>: The AI giant surged over 3% after hitting a two-month low on Tuesday, showcasing the ongoing volatility in tech stocks.<br \/>&#8211; <b>Tesla (<a href=\"https:\/\/thestockmarketwatch.com\/stock\/?stock=TSLA\">TSLA<\/a>)<\/b>: The electric vehicle maker saw a 2.8% decline, following a 14% rally over the previous three sessions.<br \/>&#8211; <b>Birkenstock (<a href=\"https:\/\/thestockmarketwatch.com\/stock\/?stock=BIRK\">BIRK<\/a>)<\/b>: Shares edged lower after the company forecasted fiscal 2025 revenue growth below market expectations.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Sector_Performance_and_Market_Trends\"><\/span>Sector Performance and Market Trends<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The market&#8217;s performance was mixed across sectors:<\/p>\n<p>&#8211; Technology stocks showed resilience, with most rate-sensitive megacap stocks ticking higher in anticipation of potential rate cuts.<br \/>&#8211; Crypto-focused stocks faced pressure as Bitcoin fell 2%, with companies like MARA Holdings and Riot Platforms experiencing declines.<br \/>&#8211; The equal-weighted S&#038;P 500 remained about 4% below its recent record, indicating some disparity in the broader market&#8217;s performance compared to the cap-weighted index.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Looking_Ahead_Market_Catalysts\"><\/span>Looking Ahead: Market Catalysts<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>As 2024 draws to a close, several factors are poised to influence market direction:<\/p>\n<p>1. <b>Fed&#8217;s 2025 Outlook<\/b>: The Fed&#8217;s projections for future rate cuts will be crucial in shaping market expectations for the coming year.<br \/>2. <b>Economic Data<\/b>: Upcoming reports on housing starts, permits, and Q3 current account balance will provide further insights into economic health.<br \/>3. <b>Corporate Earnings<\/b>: Key companies like Micron Technology, Lennar, and General Mills are set to report earnings, potentially impacting sector performance.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Why_Was_the_Market_Up_Today\"><\/span>Why Was the Market Up Today?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The market&#8217;s positive performance can be attributed to several factors:<\/p>\n<p>1. <b>Rate Cut Optimism<\/b>: Expectations of a Fed rate cut and hopes for a less aggressive monetary policy in 2025 boosted investor sentiment.<br \/>2. <b>Strong Year-End Outlook<\/b>: Despite recent volatility, major indexes are on track for impressive yearly gains, with the S&#038;P 500 up nearly 27% and the Nasdaq up about 34% in 2024.<br \/>3. <b>Tech Sector Resilience<\/b>: The rebound in key tech stocks, particularly in the AI space, provided support to broader market indexes.<\/p>\n<p>As we approach the end of 2024, market participants remain cautiously optimistic, balancing the potential for continued economic growth against concerns about inflation and future monetary policy. The Federal Reserve&#8217;s decision and guidance will likely set the tone for market sentiment heading into the new year.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>On Wednesday, December 18, 2024, U.S. stock markets showed resilience, with major indexes climbing higher as investors eagerly awaited the [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":50312,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"rank_math_schema_Article":[],"rank_math_focus_keyword":[],"rank_math_description":[],"financial_data_references":[],"stock_symbols_mentioned":[],"footnotes":""},"categories":[94],"tags":[4,633,3965,3966],"class_list":["post-48586","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-market-update","tag-tsla","tag-nvda","tag-birk","tag-sep"],"_links":{"self":[{"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/posts\/48586","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/comments?post=48586"}],"version-history":[{"count":0,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/posts\/48586\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/media\/50312"}],"wp:attachment":[{"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/media?parent=48586"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/categories?post=48586"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/tags?post=48586"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}