Markets Shrug Off Fed Tensions, Close at Record Highs Amid Tech Gains and Earnings Anticipation

Core Insights - U.S. equity markets showed resilience with major indexes reaching new record closing highs, driven by positive corporate news and the upcoming fourth-quarter earnings season [1][12] Major Market Indexes Performance - All three major U.S. stock indexes finished positively, with the Nasdaq Composite up 0.3%, S&P 500 up 0.2%, and Dow Jones Industrial Average also up 0.2%, marking new record closes [2] - The S&P 500's performance followed a strong previous week, supported by a softer-than-expected December jobs report, which indicated a modest addition of 50,000 jobs and a decrease in the unemployment rate to 4.4% [2] Upcoming Market Events - The fourth-quarter earnings season is set to begin, with major U.S. banks like JPMorgan Chase, Wells Fargo, Citigroup, Bank of America, Goldman Sachs, and Morgan Stanley reporting results [3] - Analysts expect an 8.3% year-over-year earnings growth for S&P 500 companies in the December quarter, which would mark the tenth consecutive quarter of positive earnings gains if achieved [3] Economic Data Releases - The December Consumer Price Index (CPI) report is anticipated, with estimates predicting a 0.3% month-over-month gain, keeping annual inflation around 2.7% [4] - Additional reports on the Producer Price Index (PPI) and retail sales for November and December are scheduled, which will provide insights into pricing pressures and consumer activity [4] Major Stock News and Developments - Alphabet reached a $4 trillion market capitalization, with shares rising 1% after Apple selected Google's Gemini for its AI initiatives [5] - Walmart's shares increased by 3% following its announcement to join the Nasdaq 100 index and a partnership with Google's Gemini AI [6] - Intel Corporation's shares surged 10.8% after positive remarks from President Trump regarding a meeting with its CEO [8] - General Motors announced $7.1 billion in special charges for the fourth quarter, leading to a slight dip of 0.3% in its stock [9] Smaller Cap Stocks Movements - ANI Pharmaceuticals rose over 8% on a strong revenue forecast for 2026, while Dexcom gained over 5% on robust preliminary revenue [10] - Akamai Technologies and Amphenol both saw increases of over 4% following analyst upgrades [10]