NEW YORK — U.S. stocks were higher in early afternoon trading Monday as Wall Street opened a holiday-shortened week with a cautious-but-optimistic tone: technology shares extended last week’s rebound, while energy and materials gained support from a sharp move higher in oil and precious metals. [1]
US stock market snapshot at 1:36 p.m. ET
As of about 1:36 p.m. Eastern, major indexes were in the green (Reuters/LSEG data delayed at least 15 minutes):
- S&P 500:6,880.31 (+0.67%)
- Nasdaq Composite:23,450.05 (+0.61%)
- Dow Jones Industrial Average:48,413.54 (+0.58%) [2]
Key cross-market signals were also pointing to a “risk-on, but hedged” day:
- U.S. 10-year Treasury yield:4.165% (up modestly)
- Brent crude:$61.87 (+2.32%)
- Gold:$4,443.60 (+1.88%) [3]
Why Wall Street is up today: AI momentum returns, and energy/materials get a boost
The biggest story for equities is familiar in late 2025: AI-linked mega-cap and semiconductor names are back in charge, at least for now. Reuters reported that last week’s tech rally—sparked by Micron’s upbeat outlook and a benign inflation report—helped pull major benchmarks back within striking distance of their recent record closes. [4]
At the same time, Monday’s rally wasn’t just a tech-only move. Reuters noted that materials and energy led sector gains as commodities rose, with 10 of 11 S&P 500 sectors trading higher earlier in the session. [5]
Another notable sentiment marker: Reuters said the CBOE Volatility Index (VIX)—often called Wall Street’s “fear gauge”—hit its lowest level since September, a sign that near-term hedging demand has eased even as investors remain watchful into year-end. [6]
Today’s biggest market movers and headlines (Dec. 22, 2025)
Here are the key single-stock stories and catalysts driving attention on a light holiday tape:
Tesla hits a fresh high after Musk pay decision
Tesla surged after the Delaware Supreme Court reinstated Elon Musk’s 2018 pay package, pushing the stock to an all-time high in Monday trading, according to Reuters. [7]
Nvidia jumps as China chip shipments stay in focus—and lawmakers demand disclosure
Nvidia was higher after Reuters reported the company told Chinese customers it aims to begin shipments of its H200 chips to China before Lunar New Year (mid-February). [8]
Separately, Reuters reported two senior Democratic lawmakers asked the U.S. Commerce Department to disclose details of any approvals tied to license reviews involving potential sales of Nvidia’s H200 chips to Chinese firms—keeping geopolitics and export controls front and center for AI hardware investors. [9]
Warner Bros. Discovery and Paramount move on takeover-battle financing
Media M&A remained a major tape driver. Reuters reported Larry Ellison offered a $40.4 billion personal guarantee to support Paramount Skydance’s attempt to acquire Warner Bros. Discovery, helping lift shares in both companies. [10]
Clearwater Analytics jumps on an $8.4 billion go-private deal
Software firm Clearwater Analytics popped after a private-equity-led group agreed to acquire the company for about $8.4 billion including debt, Reuters reported—another reminder that dealmaking is still alive even in a choppy December. [11]
Dominion Energy drops after offshore wind lease pause
In utilities and renewables, Dominion Energy slid after the Trump administration said it was pausing leases for five large-scale offshore wind projects, including Dominion’s Coastal Virginia Offshore Wind project, according to AP. [12]
Reuters likewise reported the administration suspended leases on five major offshore wind projects—moves it said were linked to national security concerns—sending related shares lower. [13]
Alphabet announces a $4.75B clean-energy acquisition tied to AI power demand
In another AI-adjacent deal, Reuters reported Alphabet will buy clean energy developer Intersect for $4.75 billion in cash (plus assumed debt), highlighting the growing scramble for power and infrastructure as Big Tech scales data centers for generative AI. [14]
Coinbase expands beyond crypto trading with a prediction markets acquisition
Crypto exchange Coinbase said it will buy prediction markets startup The Clearing Company, Reuters reported—part of the company’s push to broaden its business lines beyond core crypto trading (and, notably, into products that are attracting regulatory debate). [15]
Rates and the Fed: why investors are watching policy signals into 2026
Treasury yields were only modestly higher, but the policy backdrop remains a major driver of equity valuation—especially in growth and tech.
Reuters reported Federal Reserve Governor Stephen Miran said he’s likely to remain on the Board beyond his term’s expiration until a successor is installed, amid a transition period where President Donald Trump is expected to name a nominee to succeed Fed Chair Jerome Powell. [16]
The same Reuters report also laid out the internal policy split: Miran has been the Fed’s most dovish voice since joining, dissenting for bigger cuts, while other officials have argued inflation remains too high to justify aggressive easing. [17]
From a market standpoint, AP reported that Wall Street is mostly betting the Fed will hold rates steady at its January meeting, underscoring that the next “big move” for stocks may depend less on today’s headlines—and more on whether incoming data confirms cooling inflation without a sharper labor-market slowdown. [18]
Oil and gold surge: what commodities are saying about risk
While stocks were rising, commodities delivered the day’s most dramatic signals—and they matter for equity sectors like energy, materials, miners, and transports.
Reuters reported oil climbed after the U.S. Coast Guard pursued an oil tanker near Venezuela and after reports of damage to Russian vessels and infrastructure—events traders viewed as increasing the risk of supply disruptions. Brent rose about 2.3% in late morning trading, Reuters said, with analysts pointing to geopolitical risk supporting prices. [19]
Gold also pushed to record territory. Reuters reported spot gold jumped to an all-time peak (with silver also setting records), with the story tied to a mix of rate-cut expectations, a weaker dollar, and geopolitical uncertainty. [20]
On the tape, Reuters/LSEG showed gold around $4,443.60 and Brent around $61.87 during the U.S. session. [21]
What to watch next: holiday-shortened trading week, GDP, consumer confidence, jobless claims
With Christmas approaching, liquidity and timing matter. Reuters warned volumes are expected to remain light, with U.S. markets closing early Wednesday (1:00 p.m. ET) and shut Thursday for Christmas. [22]
That thinner volume can amplify moves—especially if key data surprises:
- Reuters flagged upcoming releases including a preliminary reading of Q3 GDP, December consumer confidence, and weekly jobless claims. [23]
- AP likewise highlighted Q3 GDP and consumer confidence on Tuesday, followed by jobless claims on Wednesday. [24]
In short: the week may look quiet on the calendar, but the data that does arrive carries extra weight because there’s less “other noise” (earnings, Fed meetings) to absorb it.
Santa Claus rally watch: the seasonal window starts Wednesday
Strategists are also talking up the market’s most famous seasonal pattern.
Reuters cited the Stock Trader’s Almanac definition of the “Santa Claus rally” as the S&P 500’s average gain over the last five trading days of the year and the first two trading days of January, and noted the S&P 500 has historically risen an average 1.3% during that span (since 1950). Reuters added that, this year, that period runs from Wednesday through January 5. [25]
The key caveat for investors: seasonal patterns aren’t guarantees—particularly in a market that’s still wrestling with rate uncertainty, geopolitics, and policy headlines.
Forecasts and analysis: how strategists frame the next move for U.S. stocks
Even with stocks higher today, much of the professional commentary is about what has to go right for a durable year-end push—and what could go wrong in thin trade.
1) Tech sentiment is still the swing factor
Reuters quoted E*TRADE from Morgan Stanley’s Chris Larkin saying tech has led the market higher this year—and that a Santa rally, if it arrives, may require “positive tech sentiment.” [26]
Schwab echoed the framework: its morning market update said AI-related stocks rising early Monday was a positive sign for investors hoping for a year-end lift, while also noting the week is light on earnings and economic data and that holiday volume can make big moves feel less “convincing.” [27]
2) Watch the “range” and key technical levels into year-end
Schwab’s update highlighted how the S&P 500 has been churning in a band (roughly 6,600 to 6,900) and suggested technical levels like the index’s 50-day moving average could matter on pullbacks. [28]
3) Rates may stay “rangebound,” shaping stock multiples in 2026
Looking beyond the next few sessions, LPL Research’s Dec. 22 commentary projected a rangebound rate environment in 2026, with markets expecting the Fed funds rate to fall toward around 3% and the 10-year Treasury yield to remain roughly 3.75%–4.25%—a setup that implies equities may continue to respond sharply to any data that shifts the “cut path.” [29]
Schwab’s update similarly argued that longer-term yields should be driven more by expectations for the terminal policy rate than by short-term timing tweaks, and suggested the 10-year yield may hover near 4% unless growth slows materially. [30]
Bottom line at 1:36 p.m. ET
The U.S. stock market is higher in early afternoon trading on Dec. 22, 2025, with the S&P 500, Nasdaq, and Dow all up around six-tenths of a percent as investors lean into a renewed AI bounce and broad sector participation—while keeping one eye on thin holiday liquidity and the week’s GDP and confidence data. [31]
References
1. www.reuters.com, 2. www.reuters.com, 3. www.reuters.com, 4. www.reuters.com, 5. www.reuters.com, 6. www.reuters.com, 7. www.reuters.com, 8. www.reuters.com, 9. www.reuters.com, 10. www.reuters.com, 11. www.reuters.com, 12. apnews.com, 13. www.reuters.com, 14. www.reuters.com, 15. www.reuters.com, 16. www.reuters.com, 17. www.reuters.com, 18. apnews.com, 19. www.reuters.com, 20. www.reuters.com, 21. www.reuters.com, 22. www.reuters.com, 23. www.reuters.com, 24. apnews.com, 25. www.reuters.com, 26. www.reuters.com, 27. www.schwab.com, 28. www.schwab.com, 29. sswp.lpl.com, 30. www.schwab.com, 31. www.reuters.com
