{"id":48628,"date":"2024-12-25T22:01:56","date_gmt":"2024-12-25T22:01:56","guid":{"rendered":"https:\/\/thestockmarketwatch.com\/stock-market-news\/market-recap-santa-claus-rally-kicks-off-on-christmas-day-2024\/48628\/"},"modified":"2024-12-25T22:01:56","modified_gmt":"2024-12-25T22:01:56","slug":"market-recap-santa-claus-rally-kicks-off-on-christmas-day-2024","status":"publish","type":"post","link":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/market-recap-santa-claus-rally-kicks-off-on-christmas-day-2024\/48628\/","title":{"rendered":"Market Recap: Santa Claus Rally Kicks Off on Christmas Day 2024"},"content":{"rendered":"<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\/market-recap-santa-claus-rally-kicks-off-on-christmas-day-2024\/48628\/#Major_Indexes_Close_Higher_as_Holiday-Shortened_Week_Begins\" >Major Indexes Close Higher as Holiday-Shortened Week Begins<\/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\/market-recap-santa-claus-rally-kicks-off-on-christmas-day-2024\/48628\/#Santa_Claus_Rally_in_Full_Swing\" >Santa Claus Rally in Full Swing<\/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\/market-recap-santa-claus-rally-kicks-off-on-christmas-day-2024\/48628\/#Tech_Stocks_Lead_the_Charge\" >Tech Stocks Lead the Charge<\/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\/market-recap-santa-claus-rally-kicks-off-on-christmas-day-2024\/48628\/#Other_Market_Movers\" >Other Market Movers<\/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\/market-recap-santa-claus-rally-kicks-off-on-christmas-day-2024\/48628\/#Cryptocurrency_Market_Update\" >Cryptocurrency Market Update<\/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\/market-recap-santa-claus-rally-kicks-off-on-christmas-day-2024\/48628\/#Economic_Data_and_Upcoming_Events\" >Economic Data and Upcoming Events<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/market-recap-santa-claus-rally-kicks-off-on-christmas-day-2024\/48628\/#Market_Outlook_and_Analyst_Perspectives\" >Market Outlook and Analyst Perspectives<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/market-recap-santa-claus-rally-kicks-off-on-christmas-day-2024\/48628\/#Looking_Ahead_Potential_Opportunities\" >Looking Ahead: Potential Opportunities<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Major_Indexes_Close_Higher_as_Holiday-Shortened_Week_Begins\"><\/span>Major Indexes Close Higher as Holiday-Shortened Week Begins<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>On Wednesday, December 25, 2024, major U.S. stock indexes closed higher, marking a positive start to the traditional Santa Claus rally period. Despite the holiday-shortened trading session, investors showed optimism, pushing the markets up across the board.<\/p>\n<p><b>The <a href=\"https:\/\/stockmarketwatch.com\/indices\/sp500\/today\" data-internallinksmanager029f6b8e52c=\"3\" title=\"snp500 today\">S&#038;P 500<\/a> (^GSPC) rose 1.10% to 6,040.04, the <a href=\"https:\/\/stockmarketwatch.com\/indices\/dowjones\/today\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Dow Jones Today\">Dow Jones<\/a> Industrial Average (^DJI) gained 0.91% to 43,297.03, and the Nasdaq Composite (^IXIC) surged 1.35% to 20,031.13.<\/b> This upward movement erased the S&#038;P 500&#8217;s December decline, turning it into a modest 0.2% gain for the month.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Santa_Claus_Rally_in_Full_Swing\"><\/span>Santa Claus Rally in Full Swing<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The &#8220;Santa Claus rally,&#8221; a phenomenon first described by Yale Hirsch in 1972, refers to the stock market&#8217;s tendency to rise over the last five trading days of the year and the first two of the new year. Historically, this period has seen an average gain of 1.3% for the S&#038;P 500 since 1969, significantly outperforming the typical seven-day trading period.<\/p>\n<p>Jeff deGraaf, chairman of Renaissance Macro Research, noted, &#8220;The S&#038;P has put up reasonable numbers over the last two sessions, as it attempts to resolve the oversold condition, but the rally has lacked momentum.&#8221; He added that while December typically has a 74% probability of positive returns, 2024 might be shaping up as an outlier unless the market receives &#8220;some serious help.&#8221;<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Tech_Stocks_Lead_the_Charge\"><\/span>Tech Stocks Lead the Charge<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Technology stocks were among the day&#8217;s biggest winners, contributing significantly to the overall market gains. <b>Notable performers included:<\/p>\n<p>&#8211; Meta Platforms (<a href=\"https:\/\/thestockmarketwatch.com\/stock\/?stock=META\">META<\/a>): Up over 2%<br \/>&#8211; Broadcom (<a href=\"https:\/\/thestockmarketwatch.com\/stock\/?stock=AVGO\">AVGO<\/a>): Surged more than 5%<br \/>&#8211; Nvidia (<a href=\"https:\/\/thestockmarketwatch.com\/stock\/?stock=NVDA\">NVDA<\/a>): Rose 3.7%<\/b><\/p>\n<p>The strong performance of these tech giants helped propel the Nasdaq to its impressive 1.35% gain for the day.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Other_Market_Movers\"><\/span>Other Market Movers<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Several other stocks made significant moves on Christmas Day:<\/p>\n<p>&#8211; <b>Tesla (<a href=\"https:\/\/thestockmarketwatch.com\/stock\/?stock=TSLA\">TSLA<\/a>): Jumped 7.36% to $462.28<\/b><br \/>&#8211; Honda (<a href=\"https:\/\/thestockmarketwatch.com\/stock\/?stock=HMC\">HMC<\/a>): Soared over 12% following news of merger talks with Nissan<br \/>&#8211; Xerox (<a href=\"https:\/\/thestockmarketwatch.com\/stock\/?stock=XRX\">XRX<\/a>): Climbed more than 12% after announcing plans to acquire printer maker Lexmark in a $1.5 billion deal<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Cryptocurrency_Market_Update\"><\/span>Cryptocurrency Market Update<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The cryptocurrency market also saw positive movement, with <b>Bitcoin (BTC-USD) rising 3.97% to $97,980.22<\/b> and Ethereum (ETH-USD) gaining 1.72% to reach $3,467.87.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Economic_Data_and_Upcoming_Events\"><\/span>Economic Data and Upcoming Events<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>While no major economic reports were released on Christmas Day, investors are looking ahead to several key events in the coming days:<\/p>\n<p>&#8211; December 26: Jobless claims data and EIA Petroleum Status Report<br \/>&#8211; December 27: International Trade in Goods (Advance), Retail Inventories (Advance), and Wholesale Inventories (Advance)<br \/>&#8211; December 30: Chicago PMI and Pending Home Sales<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Market_Outlook_and_Analyst_Perspectives\"><\/span>Market Outlook and Analyst Perspectives<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>As 2024 draws to a close, analysts are cautiously optimistic about the market&#8217;s performance. The S&#038;P 500 is on track for a stellar year, with gains of around 26% year-to-date. However, December&#8217;s performance has been lackluster compared to its historical average.<\/p>\n<p>Jay Hatfield of Infrastructure Capital Advisors maintains a year-end 2024 S&#038;P 500 target of 6,000, implying only a 0.4% increase from the current levels. &#8220;We might get a Santa Claus rally, but those aren&#8217;t that powerful [of] rallies,&#8221; Hatfield commented. &#8220;We&#8217;re neutral on the market.&#8221;<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Looking_Ahead_Potential_Opportunities\"><\/span>Looking Ahead: Potential Opportunities<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Despite the overall market strength, some analysts are highlighting potential opportunities in undervalued stocks. A recent report identified several companies trading significantly below their estimated fair values, including:<\/p>\n<p>&#8211; HangzhouS MedTech (SHSE:688581): 49.9% discount<br \/>&#8211; Lindab International (OM:LIAB): 49.8% discount<br \/>&#8211; NCSOFT (KOSE:A036570): 49.9% discount<\/p>\n<p>Investors are advised to conduct thorough research and consider their risk tolerance before making investment decisions based on these estimates.<\/p>\n<p>As the year comes to a close, market participants will be closely watching whether the Santa Claus rally can maintain its momentum and provide a strong finish to what has already been a remarkable year for U.S. equities.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Major Indexes Close Higher as Holiday-Shortened Week Begins On Wednesday, December 25, 2024, major U.S. stock indexes closed higher, marking 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