Stocks To Watch – 12/16/2024

Brief Overview

Welcome back to this week’s Stocks to Watch! there is no shortage of market action as we cruise into the back half of December to close out the year. As always, we’ll be on the lookout for the best possible setups to alert to our members. Lets get right into it!

The week opened on a cautious note, with markets dipping slightly ahead of some big economic reports. Tech stocks like Nvidia took a hit, dragging down the broader market. Investors were clearly holding their breath for inflation data later in the week.

December kicked off with good vibes from shoppers. The University of Michigan’s consumer sentiment index climbed to 74, up from 71.8 in November. People seem to be feeling more confident about the economy as the holidays approach.

The latest inflation numbers showed a slight uptick, with the CPI rising 2.7% year-over-year in November, up from October’s 2.6%. Even with inflation sticking around, most analysts still think the Fed will cut rates by 0.25% soon to keep the economy humming.

The Producer Price Index (PPI) rose 0.4% in November, doubling October’s growth and showing that producers are feeling the squeeze. Meanwhile, jobless claims jumped to 242,000, up from 224,000 the week before, raising a few eyebrows about the labor market cooling off.

It was a mixed bag for the stock market to close out the week. The Dow slid for a seventh straight day, but tech stocks like Broadcom rallied, showing that some sectors are still holding strong. Investors seem to be waiting on the Fed’s next move before making any big bets.