Stocks Settle Mostly Lower as Early Rally Fades

Economic Indicators - US November JOLTS job openings fell by 303,000 to a 14-month low of 7.146 million, below expectations of 7.648 million [1] - US December ADP employment change increased by 41,000, weaker than expectations of 50,000 [1] - US October factory orders fell by 1.3% month-over-month, weaker than expectations of a 1.2% decline [6] Labor Market Insights - Signs of weakness in the US labor market were indicated by the December ADP employment report and the November JOLTS report, which showed fewer job openings than expected, suggesting a dovish factor for Federal Reserve policy [4][9] - Initial weekly unemployment claims are expected to increase by 13,000 to 212,000, while December nonfarm payrolls are expected to increase by 70,000 [7] Stock Market Performance - Stock indexes settled mixed, with the Nasdaq 100 reaching a 3.5-week high, while the S&P 500 and Dow Jones Industrial Average fell from record highs, led by weakness in chipmakers and data storage stocks [5][6] - Chipmakers and data storage companies faced pressure, with Western Digital closing down more than 8% and Seagate Technology down more than 5% [12] Sector Movements - Defense stocks tumbled after President Trump announced he would not allow dividends or buybacks for defense companies, leading to declines in Northrop Grumman and Lockheed Martin [13] - Mining stocks moved lower as silver fell more than 4% and copper dropped more than 3% [14] - Cybersecurity stocks saw gains, with Crowdstrike Holdings and Palo Alto Networks closing up more than 3% [14] International Economic Context - Eurozone December core consumer prices rose by 2.3% year-over-year, weaker than expectations of 2.4%, easing inflation concerns and leading to lower European bond yields [3][10] - The UK 10-year gilt yield fell to a 1.75-month low, while the 10-year German bund yield dropped to a 1-month low [3][10]