Stocks Finish 2025 Higher Amid Explosive Year for AI
Schaeffers Investment Research·2026-01-02 18:53

Group 1: Market Performance - All three major indexes finished 2025 with gains, marking their third consecutive year in the black, with the Dow Jones Industrial Average (DJI) adding 13%, the Nasdaq Composite (IXIC) rising 20.4%, and the S&P 500 Index (SPX) tacking on 16.4% [1] - Each benchmark also rose for the third straight quarter despite tech volatility, with the tech sector experiencing significant growth amid AI-related advancements [1] Group 2: Federal Open Market Committee and Precious Metals - The Federal Open Market Committee's (FOMC) December meeting minutes were a focal point, while silver prices reached record highs during a volatile week for precious metals [2] Group 3: AI Developments - Softbank is in advanced talks to acquire DigitalBridge Group (DBRG) for $4 billion to expand its AI infrastructure [3] - Meta Platforms (META) is acquiring Manus, a Singapore-based AI startup [3] - Applied Digital (APLD) announced plans to spin off its cloud business, merging with Ekso Bionics (EKSO) to create "ChronoScale" [3] - Baidu (BIDU) declared a spin-off of its semiconductor unit, Kunlunxin, with plans to list it in Hong Kong [3] Group 4: Future Outlook - Tech dominated this year's lucrative options plays, with expectations for AI continuing to be high [4] - Uranium producer Cameco (CCJ) has benefited from increased demand for alternative energy sources and is highlighted as a top stock pick for 2026 [4] - Attention is advised on SPX levels following the benchmark's recent record peak [4]