* AI jitters, Fed interest rate path among key year-end factors. * GDP, consumer confidence reports to shed more light on economy. * S&P 500 set for double-digit percentage gains in 2025, despite shaky December. By Lewis Krauskopf. NEW YORK, Dec 19 - Investors hoping for traditional holiday cheer for the U.S. stock market are encountering turbulence that could keep markets on edge into year-end.
Federal Reserve Bank of Cleveland President Beth Hammack said she saw no need to change U.S. interest rates for months ahead after the central bank cut borrowing costs at its last three meetings, the Wall Street ?Journal reported on Sunday.
White House economic advisor Kevin Hassett, who is on a shortlist to potentially become Federal Reserve leader, said on Fox Business Friday that President Donald Trump is right when he says inflation is low, even as the data, public opinion and most economists stand at odds with this view.
US equity indexes rose on Friday as technology topped sector charts in a broad-based rally, aided by a revival of risk-on sentiment for the so-called artificial intelligence trade.
US equity indexes closed higher Friday as tech stocks paced the rally. * US existing home sales edged up 0.5% in November to a seasonally adjusted annual rate of 4.13 million, slightly below expectations for a 4.15 million pace, according to data from the National Association of Realtors.
* BOJ raises rates as expected, Ueda's speech offers few hints. * Yen falls broadly, hits record low against euro. * Japense finance minister warns of action against excessive FX moves. By Chibuike Oguh and Amanda Cooper.
* Wall Street helps global index rise, tech offers support. * BOJ hikes 25 bps, signals further tightening ahead. * Japanese bond yields jump, Dollar gains on yen. * Oil rises as geopolitcal uncertainty continues. By Sin?ad Carew and Iain Withers.
Latin American assets edged higher on
Friday, led by gains in Chilean equities aided by copper prices,
while investors assessed geopolitical tensions and Colombia's
central bank kept rates ...
Bitcoin is consolidating below $90,000, but BitMEX co-founder Arthur Hayes says the pause masks a powerful liquidity-driven move that could send the cryptocurrency to $200,000 in 2026. What Happened: In his latest essay, "Love Language," Hayes argues the Federal Reserve's newly introduced "Reserve Management Purchases" program is effectively a rebranded form of Quantitative Easing.
Existing home sales rose to a 4.13 million seasonally adjusted annual rate in November from a 4.11 million rate in October but were still down 1% from the 4.17 million rate in November 2024. Two of the four US regions posted month-over-month sales gains in November, with a decline in one region and one unchanged reading.
After an upside surprise in Q3 GDP tied to an export recovery, CIBC's Avery Shenfeld on Friday said Q4 looks to be off to a "weak start", with October GDP on Tuesday expected to post a decline.
US consumer sentiment improved after a four-month downturn, while inflation expectations hit 11-month lows, final University of Michigan survey results showed Friday. The main sentiment index rose to 52.9 this month from 51 in November.
* Existing home sales increase 0.5% in November. * Median home price rises 1.2% to $409,200 from a year ago. * Housing inventory at eight-month low. * Modest improvement in consumer sentiment in December confirmed. By Lucia Mutikani.
Existing home sales in the US rose for a third consecutive month in November amid lower mortgage rates, data from the National Association of Realtors showed Friday. Sales increased 0.5% sequentially to a seasonally adjusted annual rate of 4.13 million units last month.
* Wall Street indexes rise in tech-led rally. * BOJ hikes 25 bps, signals further tightening ahead. * Japanese bond yields jump, Dollar gains on yen, By Sin?ad Carew and Iain Withers.
The U.S. central bank has been mulling the idea of a "skinny" version of master accounts for firms that want payments access without the deeper Fed demands.
* BOJ raises rates as expected, Ueda's speech offers few hints. * Yen falls broadly, hits record low against euro. * Japense finance minister warns of action against excessive FX moves. * BoE cut much closer run than market expected; sterling steady. By Chibuike Oguh and Amanda Cooper.
Latin American currencies rose on
Friday, led by gains in the Colombian peso as investors
awaited the central bank's final meeting of the year, where it
is expected to keep interest rates ...
The University of Michigan consumer sentiment index was revised down Friday to a reading of 52.9 for December from the 53.3 reading in the preliminary estimate, compared with expectations for an upward revision to 53.5 in a survey compiled by Bloomberg. That was still above the final reading of 51.0 in November.
* Nike (NKE) slides as Q2 gross margins drop. * Oracle up as ByteDance agrees deal on TikTok US app. * Indexes up: S&P 0.55%, Nasdaq 0.69%, Dow 0.54% By Sruthi Shankar and Shashwat Chauhan. Wall Street's main indexes gained on Friday, as technology stocks extended their rebound from a selloff earlier in the week, while Nike (NKE) tumbled after weak China sales weighed on its quarterly results.
The U.S. Federal Reserve announced Friday it was seeking feedback on establishing limited "payment accounts" ?for some financial firms, that would ?grant access to Fed payments ?services for clearing and ?settling ?payments, but without the broader set of ?benefits currently provided ?to banks.
U.S. existing home sales increased modestly in November amid an easing in mortgage rates, but economic uncertainty is keeping potential buyers on the sidelines. The report from the National Association of Realtors on Friday also showed the inventory of previously owned homes fell from October to an eight-month low, limiting choices for those looking to buy.
The U.S. Federal Reserve announced Friday it was seeking feedback on establishing limited "payment ?accounts" for some financial firms, that ?would grant access to Fed ?payments services for clearing ?and ?settling payments, but without the broader set ?of benefits currently provided ?to banks.
U.S. existing home sales rose marginally in November as economic uncertainty and still-elevated mortgage rates curbed demand. Home sales increased 0.5% last month to a seasonally adjusted annual rate of 4.13 million units, the National Association of Realtors said on Friday. Economists polled by Reuters ?had forecast home resales would rise to a rate of 4.15 million ?units.
Existing-home sales increased by 0.5% in November, according to the National Association of REALTORS? Existing-Home Sales Report. Month-over-month sales increased in the Northeast and South, showed no change in the West, and fell in the Midwest. ?Existing-home sales increased for the third straight month due to lower mortgage rates this autumn,? said NAR Chief Economist Lawrence Yun.
The pace of US existing home sales rose 0.5% to a 4.13 million seasonally adjusted annual rate in November from 4.11 million in October, compared with a larger expected increase to a 4.15 million rate in a survey compiled by Bloomberg, data from the National Association of Realtors released Friday showed.
US stocks look set to open little changed Friday's trading session as investors look ahead to economic data set for release later in the morning, including existing home sales and consumer sentiment readings. The Dow Jones Industrial Average futures were off 0.03%, S&P 500 futures were up 0.12%, and Nasdaq futures were moving 0.22% higher.
Bank of Montreal said Friday it sees positive, but sluggish, real consumer spending growth in 2026, following the release of complete retail sales figures for October and an estimate on it for November. Overall, BMO said it has been a mixed bag for Canadian consumers heading into 2026.
* Nike (NKE) slides as Q2 gross margins drop. * Oracle up as ByteDance agrees deal on TikTok US app. * Futures: S&P up 0.06%, Nasdaq up 0.20%, Dow down 0.03% By Sruthi Shankar and Shashwat Chauhan.
New York Federal Reserve President John Williams told CNBC on Friday he does not see an imminent need to follow last week's interest rate cut with another reduction in borrowing costs, adding that new inflation data is being buffeted by distortions.
Federal Reserve Bank of New ?York President John Williams ?said Friday that ?he did not ?see ?any imminent need to follow ?last ?week's interest rate cut with another ?easing.
* Conagra swings to quarterly loss due to impairment charge following stock price decline. * Reports Q2 sales in line with expectations, adjusted profit narrowly beat estimates. * Company continues to see 3% tariff hit on annual costs. By Neil J Kanatt.
The yen fell sharply on Friday as traders drove it towards levels that could trigger official buying after the Bank of Japan raised rates but did not offer much of a hint over future hikes. The yen fell against the dollar after the BOJ lifted its policy rate to 0.75% from 0.5% in a move that had been well telegraphed by policymakers, prompting traders to sell.
* BOJ raises rates as expected, Ueda's speech offers few hints. * Yen falls broadly, hits record low against euro. * Euro under pressure on lack of ECB outlook. * BoE cut much closer run than market expected; sterling steady. By Tom Westbrook and Amanda Cooper.
Russia's central bank Friday said its Board of Directors decided to cut the key rate by 50 basis points to 16.0%. The reduction was widely expected, wrote Scotiabank in a note to clients. Guidance noted that "monetary policy will remain tight for a long period" with inflation running at 6.6% year over year.
* BoJ hikes to 30-year high, signals more. * Fed policymakers see one rate cut in 2026. * BoE follows Fed into cautious easing. * ECB executes 'uncertain' pause, avoids guidance. By Naomi Rovnick and Alun John. LONDON, Dec 19 - Central banks in big economies are signalling a change of stance as the Bank of Japan raised interest rates to a 30-year high on Friday.
Canada will release retail sales data for October and preliminary November at 8:30 a.m. ET on Friday, said Bank of Montreal. The retail sales report will give the bank the last piece of data for the October real gross domestic product "puzzle." Spending is likely to be little changed in the month, or down a modest 0.5% excluding autos. Volumes should nudge higher in the month.
The US dollar rose against its major trading partners early Friday ahead of the release of existing home sales data for November and the final University of Michigan consumer sentiment reading for December, both at 10:00 am ET.
Conagra Brands (CAG) maintained its annual sales and profit forecasts ?on Friday, as pressured consumer ?spending and stiff ?competition weigh on ?demand ?for its pantry staples such ?as Slim ?Jim meat snacks and Act ?II ?popcorn.
A vague outlook from Bank of Japan Governor Kazuo Ueda on Friday has given investors the nerve to add to their bets against the yen, which could soon put Japan's currency back at uncomfortably low levels for a government concerned it may already be too cheap.
* Nike (NKE) slides as Q2 gross margins drop. * Oracle up as ByteDance agrees deal on TikTok US app. * Futures: S&P up 0.12%, Nasdaq up 0.24%, Dow down 0.06% By Sruthi Shankar and Shashwat Chauhan.
* Key rate cut is in line with expectations. * Inflation expected below 6% in 2025, hit target in 2027. * Putin says he did not interfere in bank's decision. * Phone-in shows some Russians question inflation figures. By Elena Fabrichnaya and Gleb Bryanski.
Nova Scotia's December 2025 forecast update revised the provincial budget balance for fiscal year 2025-26 to a deficit $1.47 billion, or 2.1% of nominal GDP, after accounting for contingencies, said Scotiabank.
Brazil's current account deficit ?reached $4.943 billion ?in November, ?central bank ?data showed ?on Friday, ?in ?line with the $4.95 ?billion ?shortfall forecast ?by economists polled by Reuters. The ?country attracted $9.82 billion in foreign ?direct investment ?in the month, ?well above the $6.5 billion forecast in the poll.
Commerzbank in its "European Sunrise" note of Friday highlighted: Markets: United States Treasuries recover into New York close, resume downtrend overnight, long end leads the Japanese government bond sell-off. Fed: Chicago Federal Reserve President Austan Goolsbee says the November inflation report contained a "lot to like" after voting to stay put at last FOMC decision.
In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.
Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.
Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.
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