Markets, Bitcoin Struggle to Find a Year-End Rally 15/12/2025

HOT stories for today

Market wrap:

• U.S. equities weakened Friday as attention shifted back to the bond market, with rising Treasury yields pressuring risk assets as investors assessed the implications of a long-anticipated rate cut. Long-end yields moved higher after mixed and cautious commentary from Federal Reserve officials, prompting demand for greater compensation on 10- and 30-year Treasuries. The move in bonds weighed most heavily on technology shares, extending a rotation away from AI-linked stocks and pulling broader indexes off recent record highs. For the week, the S&P 500 slipped 0.6% and the Nasdaq fell 1.6%, while the Dow Jones Industrial Average outperformed with a 1% gain, according to Dow Jones Market Data. Analysts at Wedbush said in a Sunday note that while volatility in AI stocks has picked up, they remain confident that “most fundamental drivers and trading signals remain positive.”
• The week ahead marks the final uninterrupted trading stretch of the year, with markets bracing for a series of economic releases before the holiday slowdown. Investors will be watching Tuesday’s November jobs report and a key inflation reading due Thursday for confirmation that the Federal Reserve’s third straight rate cut last week is consistent with cooling price pressures. Both reports are expected to be interpreted cautiously, as the data reflect earlier periods affected by the government shutdown. Equity futures pointed modestly higher early Monday, though momentum remains fragile as the year-end approaches. Global sentiment was further dented by weakness across Asia-Pacific markets, after China’s November retail sales growth missed estimates by a wide margin, reinforcing concerns over slowing consumer demand in the world’s second-largest economy.

Bitcoin’s Year-End Rally Looks Increasingly Elusive

• Bitcoin slipped below $90,000 on Sunday, pressured by thin liquidity, weakness in major altcoins and fading risk appetite ahead of a heavy week of economic data and central bank events. The largest cryptocurrency traded near $89,600 as of midday UTC, down about 0.9% on the day. While modestly higher on the week, bitcoin remains roughly 8% lower over the past month, pointing to waning momentum. Ether showed relative strength, trading around $3,100 and outperforming bitcoin every week, as broader crypto markets remained subdued. Traders largely stayed on the sidelines ahead of key U.S. data releases that could influence risk sentiment.
• Some analysts warned that bitcoin’s consolidation could turn lower if support near $86,000 gives way, with hopes for a seasonal year-end rally yet to materialize. Adding to the caution, Barclays analysts have warned of declining crypto trading volumes into 2026, citing a lack of clear catalysts. While regulatory clarity could support longer-term growth, near-term headwinds continue to weigh on sentiment, leaving markets vulnerable to further volatility into year-end.

Stocks on the move:

• Quanex Building Products (NX): Shares jumped about 9% after the company posted better-than-expected fiscal fourth-quarter results, reporting adjusted earnings of 83 cents a share on revenue of $789.8 million, well above FactSet estimates.
• Allegiant Travel (ALGT): The stock rose more than 5% after Deutsche Bank upgraded it to buy from hold, citing improved focus on core airline operations following the exit from its loss-making resort business.
• Lantheus (LNTH): Shares gained more than 6% after Truist upgraded the therapeutics and diagnostics company to buy, pointing to a reacceleration in growth and profits beginning in late 2026.
• Tilray Brands (TLRY): The cannabis stock surged about 33% after CNBC reported President Donald Trump is expected to sign an executive order reclassifying marijuana, lifting the Amplify Alternative Harvest ETF (MJ) by roughly 28%.
• Lululemon Athletica (LULU): Shares climbed 9.6% after Chief Executive Officer Calvin McDonald announced his departure and the company beat Wall Street expectations on earnings and revenue.

Watchlist: LULU, LLY, NVDA, AVGO, AMD, TSLA, NFLX, DIS

Key Economic Events Today:

EST time

08:30 am: USD Empire State Manufacturing Index
09:30 am: USD FOMC Member Miran Speaks
10:00 am: USD NAHB Housing Market Index
10:30 am: USD FOMC Member Williams Speaks



Earnings

No significant earnings!




The TEFS Analyst team wishes you a successful day!