US stocks drift to more records on a holiday-shortened day of trading

Market Performance - Wall Street closed higher with the S&P 500 index rising 22.26 points, or 0.3%, to 6,932.05, the Dow Jones Industrial Average increasing by 288.75 points, or 0.6%, to 48,731.16, and the Nasdaq composite adding 51.46 points, or 0.2%, to 23,613.31 on a holiday-shortened trading day [1] - Trading volume was light, with approximately 1.8 billion shares traded on the New York Stock Exchange, about one-third of the average trading day [1][2] Economic Indicators - The U.S. economy grew at a surprising annual rate of 4.3% in the third quarter, marking the fastest expansion in two years, driven by consumer spending despite ongoing inflation [5] - Jobless claims fell by 10,000 to 214,000 for the week ending Dec. 20, remaining below the forecast of 232,000 new applications, indicating a still healthy labor market despite signs of weakening [6] Company Developments - Dynavax Technologies' shares surged 38.2% following Sanofi's announcement of acquiring the company for $2.2 billion, which will enhance Sanofi's portfolio with Dynavax's hepatitis B vaccines and a shingles vaccine in development [7] - Novo Nordisk's shares increased by 1.8% after receiving U.S. regulatory approval for a pill version of its weight-loss drug Wegovy, although the company’s shares are down nearly 40% this year due to increased competition from Eli Lilly, whose shares have risen by 40% this year [8] Investor Sentiment - Investors are optimistic about the future of artificial intelligence and its potential to boost profits across various sectors, contributing to a more than 17% increase in the S&P 500 this year [3] - The focus for investors in the coming weeks will be on the direction of the U.S. economy and the Federal Reserve's interest rate decisions, with expectations that the Fed will maintain current rates in January [4]