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S&P 500 Hits New High as Rally Fever Grows
24 Dec, 2025
Summary
- S&P 500 achieved a record close, fueled by tech giants.
- Third-quarter GDP surpassed estimates at 4.3%.
- Investors anticipate a year-end 'Santa Claus rally'.
Major U.S. stock indexes concluded Tuesday's trading session with gains, the S&P 500 notably reaching a fresh record close. This upward momentum was significantly driven by leading technology companies such as Alphabet, Nvidia, Broadcom, and Amazon, signaling continued strength in the sector.
Earlier in the day, the Commerce Department reported that the U.S. gross domestic product for the third quarter stood at 4.3%, exceeding market expectations and suggesting robust economic activity. While this initially tempered expectations for interest rate cuts, futures markets still indicate potential reductions by the end of 2026.
Investors are now keenly anticipating the traditional 'Santa Claus rally,' a period of positive market performance between late December and early January. Historical data indicates this rally has a strong track record of success, with current market conditions and technical strategist observations pointing towards a favorable outlook for continued gains and potentially surpassing the 7,000-point mark for the S&P 500.
