Opening Comment — Friday, December 19, 2025
DJIA: 47,951.85, up 65.88
S&P 500: 6,774.76, up 53.33
NASDAQ: 23,006.36, up 313.04
Stocks higher before existing home sales data
Stock futures are mostly higher Friday morning as investors are awaiting November’s existing home sales report, along with the finalized December reading of consumer sentiment from the University of Michigan. As of 7:15 AM ET, the Dow is little changed, while the S&P 500 is up 0.1%. The Nasdaq 100 is increasing 0.3% relative to fair value on the GLOBEX.
U.S. equities were higher on Thursday as the November Consumer Price Index (CPI) registered smaller-than-expected increases of 2.7% year-over-year (YOY) and 2.6% YOY, on a headline and core basis, respectively. Meanwhile, initial jobless claims eased and continuing claims for the week prior rose following holiday distortions. The Dow was up 0.1%, while the tech-heavy Nasdaq Composite rose 1.4%. The S&P 500 increased 0.8% with six of 11 sectors finishing in positive territory. The Consumer Discretionary sector was the top performer, rising 1.8%, while the Energy sector was the bottom performer, falling 1.4%.
Technical Analysis
As of midday Thursday, the S&P 500 Index is still in an uptrend. Support should be found at the 50-day and 200-day moving averages (6766 and 6236, respectively). Resistance might be found at 6950-7000.
On the data front, existing home sales are forecasted to have been at an annualized 4.15 million pace in November versus the prior month’s 4.10 million pace, corresponding to an increase of 1.2% month-over-month (MOM), similar to the prior month’s increase. The finalized December reading of consumer sentiment from the University of Michigan is expected to come in at 53.5, versus the prior reading of 53.3, while one-year and 5-10-year inflation expectations are expected to come in at 4.1% and 3.2%, respectively, similar to the prior readings. The Kansas City Federal Reserve (Fed) will release their Services Survey for December.
Across the pond, European stocks are mixed in mid-day trading as Germany’s November Producer Price Index (PPI) dropped by 2.3% YOY and was little changed MOM. Meanwhile, the country’s consumer confidence unexpectedly declined. British retail sales recorded an unexpected monthly fall, decreasing by 0.1% MOM and experienced a smaller-than-expected increase of 0.6% YOY in November. France’s PPI increased by 1.1% MOM and dropped by 3.3% YOY, while the country’s retail sales showed an increase of 0.7% YOY in November.
Overnight in Asia, stocks were mostly higher as the Bank of Japan (BOJ) raised its key policy rate by 25 basis points (0.25%) to 0.75% during yesterday’s meeting, marking its highest level since September 1995. Meanwhile, the country’s November CPI decelerated to 2.9% YOY and 3.0% YOY, on a headline and core basis, respectively. South Korea’s PPI accelerated to 1.9% YOY in November from the prior month’s upwardly revised increase of 1.6%.
In FOREX trading, the U.S. dollar is higher following this week’s slew of central bank meetings.
Over in the commodity pits, West Texas Intermediate (WTI) crude oil is 0.4% higher at $56.36/barrel.
In the metals complex, gold is 0.1% lower at $4,328.26/ounce following a strengthening U.S. dollar.