{"id":56375,"date":"2025-11-24T13:07:33","date_gmt":"2025-11-24T17:07:33","guid":{"rendered":"https:\/\/stockmarketwatch.com\/stock-market-news\/market-momentum-builds-on-rate-cut-hopes-as-thanksgiving-week-begins\/56375\/"},"modified":"2025-11-24T13:07:33","modified_gmt":"2025-11-24T17:07:33","slug":"market-momentum-builds-on-rate-cut-hopes-as-thanksgiving-week-begins","status":"publish","type":"post","link":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/market-momentum-builds-on-rate-cut-hopes-as-thanksgiving-week-begins\/56375\/","title":{"rendered":"Market Momentum Builds on Rate Cut Hopes as Thanksgiving Week Begins"},"content":{"rendered":"

U.S. equity markets are showing robust positive momentum on Monday, November 24, 2025, as investors kick off a holiday-shortened trading week with renewed optimism surrounding potential interest rate cuts by the Federal Reserve. This midday surge extends Friday's rebound, with all major indexes trading firmly in positive territory, largely fueled by dovish signals from a key Fed official.<\/p>\n

Major Index Performance<\/h2>\n

The three major U.S. stock indexes are experiencing significant gains in midday trading. The blue-chip Dow Jones<\/a> Industrial Average (DJIA<\/a>) is up approximately 0.5%, adding around 215 points to its value. This follows a nearly 1.3% advance over the last two trading sessions, indicating a moderately bullish bias to start the week. Futures tied to the Dow were up 0.36% earlier in the day.<\/p>\n

The broader S&P 500<\/a> (SPX<\/a>) has surged an impressive 1.4% today, building on Friday's 0.7% gain. S&P 500 futures had pointed 0.68% higher in pre-market trading<\/a>, signaling the positive sentiment.<\/p>\n

Leading the charge, the technology-heavy Nasdaq Composite (IXIC<\/a>) has soared 2.3% in midday trading, with Nasdaq 100 futures indicating a 0.99% rise earlier. The Nasdaq climbed 1.1% on Monday, reflecting strong demand for technology stocks. This strong performance marks a significant turnaround from last week, which saw the Nasdaq drop 2.7%, and both the Dow and S&P 500 decline 1.9% amidst concerns over AI spending and valuations.<\/p>\n

Market momentum is largely being driven by increasing confidence in a December Federal Reserve interest rate cut. New York Federal Reserve President John Williams' comments on Friday, suggesting "room for a further adjustment" to interest rates, have significantly boosted these expectations. The CME FedWatch tool now predicts a roughly 77% likelihood of a 25-basis-point rate cut at the upcoming December FOMC meeting.<\/p>\n

Upcoming Market Events<\/h2>\n

This week presents a holiday-shortened trading schedule, with U.S. stock and bond markets closed on Thursday, November 27, for Thanksgiving. Markets will also close early at 1 p.m. ET on Friday, November 28.<\/p>\n

Despite the shortened week, a flurry of economic data releases is anticipated, with some reports being delayed from earlier due to a government shutdown. Traders will be keenly watching the delayed October U.S. retail sales and Producer Price Index (PPI) readings, both due out on Tuesday morning. These data points are expected to heavily influence future monetary policy decisions.<\/p>\n

Other key economic indicators scheduled for release this week include:<\/p>\n