Stocks Set to Extend Tech-Led Rally, U.S. Economic Data Awaited

Market Overview - Wall Street's major equity averages ended positively, with Carnival (CCL) surging over +9% after better-than-expected Q4 adjusted EPS and above-consensus FY26 adjusted EPS guidance [2] - Chip stocks rallied, with Micron Technology (MU) climbing about +7% and Advanced Micro Devices (AMD) rising more than +6% [2] - Oracle (ORCL) advanced over +6% after signing agreements with TikTok and ByteDance for a new joint venture [2] - Nike (NKE) was the top loser on the Dow, plunging more than -10% due to expected sales drop amid weakness in China [2] Economic Indicators - U.S. existing home sales rose +0.5% month-over-month to a 9-month high of 4.13 million in November, but fell short of expectations [6] - The University of Michigan's consumer sentiment index for December was unexpectedly revised lower to 52.9, weaker than the expected 53.5 [6] Federal Reserve Insights - New York Fed President John Williams indicated no urgency to lower interest rates, citing recent jobs and inflation data [7] - Cleveland Fed President Beth Hammack expressed that there is no need to change interest rates for several months following recent cuts [8] - U.S. rate futures show an 80.1% chance of no rate change and a 19.9% chance of a 25 basis point cut at the Fed's January meeting [9] Upcoming Economic Data - Key U.S. economic data releases this week include the initial estimate of third-quarter GDP, Durable Goods Orders for October, and the Fed's industrial production reports for October and November [10] - The Commerce Department will only publish two readings for the third-quarter GDP due to a government shutdown [10] International Market Developments - The Euro Stoxx 50 Index is down -0.22%, with food and beverage stocks underperforming while mining and technology stocks advanced [12] - U.K. GDP growth was reported at +0.1% quarter-over-quarter and +1.3% year-over-year, in line with expectations [13] - Japan's Nikkei 225 Stock Index closed sharply higher, buoyed by a weaker yen and Wall Street's rally [15]