On Tuesday, major U.S. indices rose broadly, with the S&P 500 reaching a record closing high. The U.S. economy expanded at its fastest pace in two years in the third quarter, supported by resilient consumer and business spending as well as more stable trade policies.
**U.S. Stocks** At market close, the Dow Jones rose 79.73 points (0.16%) to 48,442.41, the Nasdaq gained 133.01 points (0.57%) to 23,561.84, and the S&P 500 climbed 31.3 points (0.46%) to 6,909.79. Nvidia (NVDA.US) surged over 3%, reclaiming a market cap of $4.6 trillion. Broadcom (AVGO.US) rose 2.3%, Meta Platforms (META.US) edged up 0.52%, while Tesla (TSLA.US) slipped 0.65%.
**European Stocks** Germany’s DAX 30 added 46.66 points (0.19%) to 24,342.81, the UK’s FTSE 100 gained 23.57 points (0.24%) to 9,889.54, while France’s CAC 40 dipped 17.22 points (0.21%) to 8,103.85. The Euro Stoxx 50 rose 7.97 points (0.14%) to 5,751.66. Spain’s IBEX 35 climbed 22.60 points (0.13%) to 17,180.60, and Italy’s FTSE MIB inched up 18.90 points (0.04%) to 44,612.50.
**Asia-Pacific Stocks** Japan’s Nikkei 225 edged up slightly, South Korea’s KOSPI rose 0.28%, India’s BSE SENSEX dipped marginally, and Indonesia’s Composite Index fell 0.71%.
**Forex** The U.S. dollar index, tracking six major currencies, dropped 0.35% to 97.942. By the end of New York trading, 1 euro bought $1.1790 (up from $1.1755), and 1 pound traded at $1.3497 (up from $1.3458). The dollar weakened to 156.20 yen (from 156.92), 0.7877 Swiss francs (from 0.7918), and 1.3694 Canadian dollars (from 1.3747). It also fell to 9.1684 Swedish krona (from 9.2396).
**Cryptocurrencies** Bitcoin slid over 1%, hitting a low of $86,600, while Ethereum dropped nearly 1.5% to $2,900.
**Precious Metals** Spot gold rose 0.93% to $4,485.13, nearing $4,500, while silver surpassed $70 for the first time ever.
**Crude Oil** NYMEX February 2026 light crude futures rose $0.37 (0.64%) to $58.38/barrel, and Brent crude for February delivery gained $0.31 (0.5%) to $62.38/barrel.
**Macro News** The U.S. economy grew at an annualized 4.3% in Q3, its fastest pace in two years, driven by robust consumer and business spending alongside stabilizing trade policies. The Bureau of Economic Analysis reported that inflation-adjusted GDP accelerated from Q2’s 3.8%, with household spending remaining a key driver.
Despite expectations of a Q4 slowdown due to government shutdowns, economists foresee a mild rebound by 2026, aided by tax rebates and potential tariff reversals. Fed Chair Powell cited supportive fiscal policies, AI-driven data center investments, and sustained consumer spending as growth catalysts.
The Conference Board’s December consumer confidence index fell to 89.1, with the present situation index plunging to 116.8. The expectations index held at 70.7 but has remained below 80 for 11 straight months—a recession warning threshold.
Former President Trump criticized markets for not rallying on strong GDP data, blaming fears of rate hikes. He reiterated his call for Fed rate cuts during economic strength and warned against "nerds" undermining growth.
Treasury Secretary Besant suggested revisiting the Fed’s 2% inflation target once achieved, proposing a flexible range (e.g., 1.5%-2.5%). White House economist Hassett predicted job growth could rebound to 100,000-150,000/month if 4% GDP growth persists.
**Corporate News** The FDA approved Novo Nordisk’s (NVO.US) first oral GLP-1 weight-loss drug, set to launch in January at $149/month. Trials showed up to 16.6% weight loss and cardiovascular benefits. Eli Lilly’s rival drug is expected by March.
**Ratings** Argus Research raised Micron’s (MU.US) target price from $210 to $320.
