Stock Market Today: Nasdaq Jumps to 23,627, Dow Jones at 47,774 as PSKY and IBM Stock Dominate Wall Street

Stock Market Today - Tech Outperforms as Nasdaq Pushes Higher IBM and Paramaount (PSKY) Stock Shake Wall Street

Indices Near Record Highs Ahead of Federal Reserve Decision

Wall Street opened the week with the S&P 500 (^GSPC) up 0.1% at 6,866.52, the Nasdaq Composite (^IXIC) advancing 0.4% to 23,627.65, and the Dow Jones Industrial Average (^DJI) down 0.3% at 47,774.82. The session began with restrained movement as traders positioned ahead of the Federal Reserve’s final 2025 policy meeting, widely expected to deliver a 25 basis-point rate cut, marking the third reduction this year. Fed futures now assign an 88% probability of a cut, up from 67% a month ago, as inflation pressures continue to soften and September’s PCE index confirmed weaker price momentum.

Market optimism has been fueled by hopes for continued easing under potential new leadership—President Trump is expected to nominate Kevin Hassett to succeed Jerome Powell, signaling a shift toward more aggressive monetary accommodation in 2026. The 10-year Treasury yield hovered around 4.15%, steady after weeks of volatility, while gold (XAU/USD) held at $4,238.70 and Bitcoin (BTC-USD) traded near $91,022.95, showing slight intraday weakness.

Tech Sector Drives Momentum — Broadcom, IBM, and Oracle Stand Out

Technology led Monday’s advance. Broadcom (NASDAQ:AVGO) jumped 3.09% to $1,215, driven by reports that Microsoft (NASDAQ:MSFT) may move its custom chip design operations from Marvell Technology (NASDAQ:MRVL) to Broadcom, signaling a potential multibillion-dollar partnership in AI infrastructure. Marvell fell 6% on the news. The SPDR Info Tech ETF (XLK) is now on track for its longest winning streak since February 2017, up for 11 consecutive sessions, supported by strength in semiconductors like Micron Technology (NASDAQ:MU) and Western Digital (NASDAQ:WDC).

Meanwhile, IBM (NYSE:IBM) made waves with its announcement of an $11 billion acquisition of Confluent (NASDAQ:CFLT), a data streaming platform used in AI integration. IBM will pay $31 per share in cash, a 28.7% premium, as it pivots further into AI-driven enterprise software. Confluent shares surged nearly 30%, while IBM stock slipped 1%, reflecting short-term integration risk despite the strategic upside. IBM CEO Arvind Krishna emphasized that the acquisition “will enable enterprises to deploy generative AI faster and more securely through unified data flow architecture.”

M&A Frenzy: Paramount’s Hostile Move on Warner Bros. Discovery

One of the day’s most aggressive developments came as Paramount Skydance (NASDAQ:PSKY) launched a $108 billion hostile bid for Warner Bros. Discovery (NASDAQ:WBD), countering Netflix’s (NASDAQ:NFLX) earlier $72 billion agreement to acquire Warner’s studio and streaming assets. Paramount offered $30 per share in cash, fully financed through $54 billion in debt commitments from major lenders including Bank of America, Citi, and Apollo Global Management.

Warner Bros. Discovery shares spiked 6% to $27.70, Paramount gained 3%, while Netflix dropped 2.5% amid growing antitrust scrutiny. President Trump warned the deal “could be a problem,” increasing uncertainty for regulators. The offer could reshape the U.S. media landscape, merging Paramount’s production capacity with Warner’s extensive catalog while threatening Netflix’s dominance.

S&P 500 Rebalancing Sparks Volatility — Carvana and CRH Join the Index

Carvana (NASDAQ:CVNA) continued its extraordinary rebound with a 7.27% gain to $428.82 after S&P Dow Jones Indices confirmed it will join the S&P 500 on December 22, alongside CRH (NYSE:CRH) and Comfort Systems USA (NYSE:FIX). Bank of America raised its price target for Carvana to $455, noting potential inflows from passive index funds. CRH shares advanced 7%, while Comfort Systems rose modestly. These additions replace LKQ, Solstice Advanced Materials, and Mohawk Industries.

Individual Movers: Oracle, Structure Therapeutics, and Five Below

Oracle (NYSE:ORCL) gained 2% ahead of its quarterly results, expected Wednesday, while Adobe (NASDAQ:ADBE) will follow on Thursday, both seen as indicators for corporate AI spending. Retail chain Five Below (NASDAQ:FIVE) advanced 2.4% to $177.40 after Truist Securities upgraded the stock to “Buy,” citing improving merchandise margins and operational efficiencies, with a revised price target of $216, implying 25% upside.

Biotech name Structure Therapeutics (NASDAQ:GPCR) exploded 82.75% to $63.16, marking one of the most dramatic surges in 2025. Its oral GLP-1 pill aleniglipron delivered 11.3% weight reduction in mid-stage trials with a superior safety profile, outperforming existing injectables by Novo Nordisk (NYSE:NVO) and Eli Lilly (NYSE:LLY). The firm now plans to initiate Phase 3 trials by mid-2026, setting up direct competition in a $100 billion obesity drug market.

Berkshire and JPMorgan Leadership Shift — Todd Combs Exits Buffett’s Shadow

Berkshire Hathaway (NYSE:BRK.B) fell 1% to $499.21 after veteran investment manager and Geico CEO Todd Combs announced his departure to join JPMorgan Chase (NYSE:JPM). Combs will lead the bank’s $10 billion Strategic Investment Group under its new Security and Resiliency Initiative, alongside high-profile advisors including Jeff Bezos and Michael Dell. Warren Buffett, set to retire at year-end, praised the move as “a good decision,” while Nancy Pierce was promoted to lead Geico. JPMorgan shares remained stable as investors welcomed the strategic hire.

Macro Landscape: China Trade Surplus and Bond Market Divergence

China’s trade surplus exceeded $1.08 trillion for the first 11 months of 2025, despite a 29% drop in exports to the U.S., signaling stronger global demand from Europe, Latin America, and Southeast Asia. The 5.9% export growth in November and modest 2% import increase underline the resilience of China’s manufacturing sector following the U.S.–China tariff truce agreed in late October. The yuan remained stable amid expectations that tariff reductions will further boost export data into Q1 2026.

In fixed income, the U.S. 10-year yield (^TNX) edged to 4.143%, despite the Fed’s cumulative 1.5% rate cuts since September 2024. The divergence has reignited debate about “bond vigilantes” and skepticism over fiscal discipline, as yields remain elevated despite easing policy. Analysts interpret this as either market confidence in avoiding recession or a warning that deficits are eroding credibility

Commodities and Crypto — Oil Weakens, Silver Tests Record

Crude Oil (CL=F) fell 1.55% to $59.15 per barrel, with Brent (BZ=F) near $62, pressured by stalled Ukraine peace talks and expectations of lower global demand. Traders priced in 89.6% odds of a Fed cut this week, suggesting potential support for energy prices later in the week.

Silver (SI=F) hovered near $58.73, after peaking at $59.33, its highest in years. ETF inflows jumped 590 tons last week, signaling strong institutional accumulation despite overbought levels. Gold (XAU/USD) stayed slightly lower but remains elevated above $4,230, tracking central bank accumulation trends.

Bitcoin (BTC-USD) traded at $91,022.95, down 0.47%, after briefly breaching the $90,000 mark, while AI-related crypto equities followed tech higher, with NVIDIA (NASDAQ:NVDA) up 1.55% to $185.24.

Market Sentiment and Outlook

After two consecutive positive weeks, the S&P 500 sits less than 0.7% below its all-time intraday high, and the Nasdaq has logged a four-session winning streak. Investors are pricing in a soft landing narrative supported by moderate inflation, steady labor data, and rising corporate deal flow. Yet, with Fed Chair Powell’s final remarks and geopolitical tensions from Europe to Asia, volatility could return quickly.

Outlook: The short-term bias remains bullish for technology-heavy indices, particularly NASDAQ:IXIC, while defensive plays may face pressure if yields resume climbing. Given the data and liquidity backdrop, this session signals Buy on Nasdaq, Hold on S&P 500, and Sell bias on Dow Industrials, which continues to lag amid sector rotation.

Verdict:

The market picture remains highly segmented across indices and assets, with clear divergences emerging in performance and investor positioning. The Nasdaq Composite (IXIC), trading near 23,627.65, remains the clear outperformer, supported by strong gains in AI and semiconductor leaders such as Broadcom (AVGO) at $1,215.00, NVIDIA (NVDA) at $185.24, and Micron Technology (MU) climbing alongside the SPDR Info Tech ETF’s longest rally since 2017. The Nasdaq’s momentum signals a continued buy outlook as liquidity and risk appetite concentrate in high-growth sectors.

The S&P 500 (GSPC), last seen around 6,866.52, is hovering less than one percent below its all-time high, showing consolidation before Wednesday’s Federal Reserve rate decision. With traders pricing in an 88% probability of a 25-basis-point cut, near-term upside appears limited, suggesting a hold stance.

The Dow Jones Industrial Average (DJI), lagging at 47,774.82, continues to face weakness as industrials underperform and investors shift capital toward technology and communication services. The rotation away from value-heavy names keeps the Dow in a sell category for now, barring a rebound in cyclical sectors.

In commodities, crude oil (CL=F) is trading at $59.15 per barrel, pressured by stalled peace talks between Russia and Ukraine and reduced global demand expectations. Despite the weakness, potential policy easing from the Fed could provide near-term support, warranting a hold rating. Gold (XAU/USD) remains firm near $4,238.70 per ounce, benefitting from falling yields and a weakening dollar, reinforcing its buy position as investors continue allocating toward safe havens.

Bitcoin (BTC-USD) trades around $91,022.95, holding steady after briefly falling below the $90,000 threshold earlier in the session. The trend remains constructive, but confirmation above $92,000 is required for a renewed breakout, leaving the asset at a hold rating until strength is confirmed.

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