Inside NYSE by Orhan Akkurt via Shutterstock
The S&P 500 Index ($SPX) (SPY) is down -0.49% today, the Dow Jones Industrials Index ($DOWI) (DIA) is down -0.50% and the Nasdaq 100 Index ($IUXX) (QQQ) is down -0.46%. E-mini S&P December futures (ESZ25) were down -0.24% and E-mini Nasdaq December futures (NQZ25) were down -0.16%.
US stock indices today are experiencing downward pressure ahead of this week’s key news, including a series of delayed US economic reports and Wednesday’s Nvidia earnings. The stock has some underlying support thanks to a +4% jump in Alphabet after Berkshire Hathaway revealed a $4.9 billion stake in the company.
Markets await Nvidia’s earnings report after the close on Wednesday for more information on the prospects for AI. Additionally, earnings from Walmart, Target and Home Depot this week will provide insight into the health of consumer spending.
This week’s U.S. economic agenda is busy with a deluge of delayed economic reports coming out. The ADP weekly employment report, the New York Fed Business Leaders Survey, industrial production, the November NAHB housing index, August factory orders and August durable goods orders will be released on Tuesday. Wednesday brings MBA’s weekly mortgage applications, the August trade balance, and the October FOMC meeting minutes. Thursday sees weekly jobless claims, the September unemployment report, the Philadelphia Fed report, October existing home sales and the Kansas City Fed manufacturing survey. Friday sees actual earnings, S&P US manufacturing and services PMI reports, US University of Michigan consumer confidence and Kansas City Fed services activity. Other delayed U.S. economic reports are also expected to be released in the coming days, but are not yet scheduled.
Today’s economic news supported stocks, as Empire’s November Manufacturing General Business Conditions Survey unexpectedly rose +8.0 to a one-year high of 18.7, stronger than expectations for a drop to 5.8.
Markets are pricing in a 41% chance of another -25bp rate cut at the next FOMC meeting on December 9-10.
The third-quarter corporate earnings season is coming to a close, as 460 of the S&P 500 companies have released results. According to Bloomberg Intelligence, 82% of reporting S&P 500 companies beat estimates, on track for the best quarter since 2021. Third-quarter earnings rose +14.6%, more than double expectations of +7.2% year-over-year.
Foreign stock markets are lower today. The Euro Stoxx 50 is down -0.75%. China’s Shanghai Composite fell to a 1.5-week low and closed down -0.46%. Japan’s Nikkei Stock 225 fell to a one-week low and closed down -0.10%.
Interest rates
The December 10-year Treasury bond (ZNZ5) is up +3.5 ticks today. The 10-year Treasury yield is down -1.6 bps to 4.133%. Treasuries are slightly higher today on speculation that long-delayed U.S. economic news due this week will show weakness in the economy and ease inflationary pressures, which could allow the Federal Reserve to continue cutting interest rates. Treasuries were undermined by news that Empire’s November Manufacturing General Business Conditions Survey unexpectedly rose to a one-year high, a hawkish factor for Federal Reserve policy.
European government bond yields are falling today. The 10-year German bond yield is down -1.0bp to 2.710%. The 10-year UK bond yield fell from a one-month high of 4.589% and was down -3.1 basis points to 4.543%.
The European Commission raised its 2025 eurozone GDP forecast to +1.3% from a May forecast of +0.9% and kept its 2025 eurozone inflation forecast unchanged from May at +2.1%.
ECB Vice President Luis de Guindos said risks to financial stability “remain elevated in view of uncertainty over geoeconomic trends and the ultimate impact of tariffs in a volatile international environment.”
The swaps price in a 3% chance that the ECB will cut rates by -25 bps at its next policy meeting on December 18.
US Stock Engines
Alphabet (GOOGL) is up more than +4% and leads gains on the Nasdaq 100 after Berkshire Hathaway revealed a $4.9 billion stake in the company. Tesla (TSLA) is up more than +2%. However, the other Magnificent Seven stocks are trading lower with losses of more than -2% in Nvidia (NVDA) and Amazon.com (AMZN).
Amazon.com (AMZN) is trading lower after Bloomberg reported that the company is looking to raise $12 billion with its first U.S. bond sales in three years, suggesting an intention to accelerate spending on artificial intelligence and other areas.
Chip stocks are mixed today. Micron Technology (MU) rose more than +4% early in the session after Rosenblatt Securities raised its price target on the stock to $300 from $250, but it has since given up some of those gains and is now up more than +1%. Applied Materials (AMAT), Arm Holdings (ARM), and GlobalFoundries (GFS) also rose more than +1%. On the downside, Qualcomm (QCOM), Marvell Technology (MRVL), NXP Semiconductors (NXPI), and Microchip Technology (MCHP) are down more than -2%.
Cryptocurrency stocks are trading lower as Bitcoin (^BTCUSD) dropped -1.5% today to a new 7-month low. Coinbase (COIN) is down over -5% and Galaxy Digital Holdings (GLXY) is down over -4%.
Zymeworks (ZYME) is up +30% and Jazz Pharmaceuticals (JAZZ) is up more than +20% after their collaboration on an experimental combination therapy for stomach and esophageal cancer showed excellent results in a late-stage trial.
Rubrik (RBRK) is down more than -1% despite Mizuho Securities upgrading the stock to Outperform from Neutral with a $97 price target.
Gap (GAP) is down more than -1% even though Barclays upgraded the stock to overweight from equal weight with a $30 price target.
Expeditors International of Washington (EXPD) is up more than +2% after UBS upgraded the stock to buy from neutral with a $166 price target.
Aramark (ARMK) is down more than -5% after reporting fourth-quarter revenue of $5.05 billion, weaker than the consensus of $5.17 billion.
Dell Technologies (DELL) is down more than -6% and leads the losers in the S&P 500 after Morgan Stanley twice downgraded it from overweight to underweight with a $110 price target.
HP Enterprise (HPE) is down more than -6% after Morgan Stanley downgraded the stock to equal weight from overweight.
Sealed Air Corp (SEE) is down more than -3% after Stifel downgraded the stock to hold from buy.
HP Inc (HPQ) is down more than -3% after Morgan Stanley downgraded the stock to underweight from equal weight with a $24 price target.
Earnings Reports (11/17/2025)
Aramark (ARMK), Helmerich & Payne Inc (HP), I3 Verticals Inc (IIIV), J & J Snack Foods Corp (JJSF), James Hardie Industries PLC (JHX), LifeMD Inc (LFMD), XP Inc (XP).
On the date of publication, Rich Asplund had no (directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article are for informational purposes only. For more information, see Barchart’s Disclosure Policy here.
