A mixed December jobs report has led to a surge in stock prices, with all three major index benchmarks ending the day on a positive note. The session concluded with the Dow Jones Industrial Average up 0.5% at 49,504 and the S&P 500 rising 0.7% to 6,966. The Nasdaq Composite also saw gains of 0.8%, finishing at 23,671, though it remains just shy of its record high of 23,958.47 set on October 29.
Market sentiment reflected a cautious optimism regarding the December jobs report, which revealed that the U.S. economy added 50,000 jobs in the previous month, a figure slightly below economists’ expectations. Additionally, the job numbers for October and November were revised downward by a total of 76,000 jobs. Despite this, the unemployment rate saw a decrease from 4.6% to 4.4%.
Bill Adams, chief economist at Comerica Bank, described the December report as a concluding chapter to a disappointing job market in 2025, marked by sluggish payroll growth. However, he predicted a more robust job landscape in the upcoming year, attributing it to more expansionary economic policies. He also indicated that the Federal Reserve is likely to maintain its current interest rate at its upcoming meeting, given the recent data and three consecutive rate cuts in late 2025.
Data from CME FedWatch suggests that futures traders currently place a 95% probability on the Fed keeping the federal funds rate unchanged in January, up from 89% the previous day. Speculation is growing around a potential quarter-point rate cut in June, coinciding with the conclusion of Jerome Powell’s tenure as Fed chair, and possibly an additional cut before the end of the year.
Looking ahead, the next few weeks promise a busy economic calendar, with the December Consumer Price Index (CPI) scheduled for release, as well as the onset of the fourth-quarter earnings season. Analysts expect the CPI to “pick up,” particularly after December’s atypical figures, although they also anticipate that it will show a decrease compared to the previous months.
Corporate earnings reports are set to emerge soon, with major players like Delta Air Lines and JPMorgan Chase revealing their Q4 results ahead of Tuesday’s market open.
In other notable developments, Intel made headlines after President Donald Trump touted the U.S. government’s investment in the chipmaker, highlighting a 10% stake acquired in August. Since this investment, Intel shares have surged nearly 84%, closing the year as a standout performer among S&P 500 stocks. However, despite this uptick, analysts remain cautious; of 45 analysts covering Intel, only six rate it as a buy, whereas the majority hold their ratings steady.
Oklo and Vistra also finished the week on a high note, fueled by partnerships announced between Meta Platforms and several nuclear energy providers, aimed at unlocking significant nuclear energy potential for AI initiatives. Over the past year, both companies have experienced remarkable gains, with Oklo’s share price quadrupling and Vistra more than doubling.
