Wall Street Indexes Extend Rally Ahead of L

Wall Street indexes advanced in Monday's trading amid positive investor sentiment and economic outlook. 

The S&P 500 index and the Nasdaq Composite advanced in early trading as investors awaited the start of earnings season and banks and tech stocks were in focus. 

Advanced chipmakers traded higher after Taiwan-based Foxconn reported a strong increase in revenue in the December quarter, driven by a continued increase in demand for artificial intelligence servers. 

This week investors are looking forward to the release of the international trade balance for November and job openings and non-farm payrolls reports for December.

Bond yields are likely to trade volatile as investors await the release of the JOLT report on Tuesday, ADP's private payrolls update on Wednesday, and the non-farm payroll report on Friday.

The New York Stock Exchange will be closed Thursday to mourn the death of former President Jimmy Carter. 

U.S. Indexes and Treasury Yields

The S&P 500 index increased 0.7% to 6,039.60, the Nasdaq Composite rose 1.04% to 19,841.31, and the Russell 2000 index inched up by 0.2% to 2,279.16. 

The yield on 2-year Treasury notes edged higher to 4.26%, 10-year Treasury notes inched up to 4.59%, and 30-year Treasury bonds increased to 4.81%.

WTI crude oil increased $0.33 to $74.29 a barrel, and natural gas prices edged up 29 cents to $3.64 a thermal unit.

Gold increased by $7.56 to $2,645.60 an ounce, and silver rose by $0.22 to $30.27. 

The dollar index, which weighs the US currency against a basket of foreign currencies, decreased by 1.18 to 107.87 and traded at a two-year high. 

U.S. Stock Movers 

Foxconn said revenue in the December quarter increased 15.2% to NT $2.13, or $64.7 billion. and in December jumped 42.3% to NT$654.8 billion. 

The company said it will release full fourth-quarter financial statements on March 14. 

Nvidia, Broadcom, and Micron Technology advanced between 2% and 4%, following Foxconn's fourth quarter sales update. 

European Stock Market Indexes Moderately Higher After Business Activities Improved In December

Stock market indexes in the eurozone advanced in Monday's trading, and investors reacted to the latest updates on the manufacturing and services activities. 

Benchmark indexes in Frankfurt, Paris, and Milan advanced, but in London eased as investors reacted to weak but improving business activities.

The HCOB Germany Composite PMI improved to 48.0 in December from 47.2 in November, said S&P Global in a report released on Monday. 

The HCOB France Composite PMI was revised to 47.5 in December from the preliminary estimate of 46.7 and from a ten-month low of 45.9 in November, said S&P Global in a separate report on Monday. 

The Euro Area's Composite PMI advanced to 49.6 in December from 48.30 in November, S&P Global said in a separate report on Monday.

Service sector activities picked up growth in the eurozone, Germany, and France in December. 

Services PMI in the eurozone increased to 51.6 from 49.6; in Germany it rose to 51.30 from 49.20, and in France to 49.30 from 46.90 in the previous month, respectively. 

Europe Indexes and Yields

The DAX index increased by 0.4% to 19,988.87; the CAC-40 index rose by 0.6% to 7,322.36; and the FTSE 100 index inched lower by 0.1% to 8,215.44. 

The yield on 10-year German bonds edged higher to 2.43%, French bonds rose to 3.27%, the UK gilts decreased to 4.60%, and Italian bonds rose to 3.58%.

The euro edged lower to $1.033; the British pound inched down to $1.246; and the U.S. dollar strengthened to 90.64 Swiss cents.

Brent crude increased $0.03 to $76.53 a barrel, and the Dutch TTF natural gas fell by €0.99 to €48.66 per MWh. 

Europe Stock Movers

Automobile makers advanced in Frankfurt and Paris, and luxury stocks in Paris rebounded from last week's weakness. 

Volkswagen AG gained 3.4% to €89.74, Mercedes-Benz Group jumped 4.2% to €54.56, and Porsche Automobil Holding SE advanced 3.2% to €37.09. 

Hermes International gained 3.4% to €2,312.0, LVMH Moet Hennessy increased 3.4% to €632.0, and Kering SA added 2.4% to €231.0. 

BNP Paribas SA gained 2.9% to €59.97, Societe Generale increased 3.3% to €27.41, and UniCredit SpA advanced 1.2% to €38.79.

European Stock Market Indexes Moderately Higher After Business Activities Indexes Improved In December

Stock market indexes in the eurozone advanced in Monday's trading, and investors reacted to the latest updates on the manufacturing and services activities. 

Benchmark indexes in Frankfurt, Paris, and Milan advanced, but in London eased as investors reacted to weak but improving business activities.

The HCOB Germany Composite PMI improved to 48.0 in December from 47.2 in November, said S&P Global in a report released on Monday. 

The HCOB France Composite PMI was revised to 47.5 in December from the preliminary estimate of 46.7 and from a ten-month low of 45.9 in November, said S&P Global in a separate report on Monday. 

The Euro Area's Composite PMI advanced to 49.6 in December from 48.30 in November, S&P Global said in a separate report on Monday.

Service sector activities picked up growth in the eurozone, Germany, and France in December. 

Services PMI in the eurozone increased to 51.6 from 49.6; in Germany it rose to 51.30 from 49.20, and in France to 49.30 from 46.90 in the previous month, respectively. 

Europe Indexes and Yields

The DAX index increased by 0.4% to 19,988.87; the CAC-40 index rose by 0.6% to 7,322.36; and the FTSE 100 index inched lower by 0.1% to 8,215.44. 

The yield on 10-year German bonds edged higher to 2.43%, French bonds rose to 3.27%, the UK gilts decreased to 4.60%, and Italian bonds rose to 3.58%.

The euro edged lower to $1.033; the British pound inched down to $1.246; and the U.S. dollar strengthened to 90.64 Swiss cents.

Brent crude increased $0.03 to $76.53 a barrel, and the Dutch TTF natural gas fell by €0.99 to €48.66 per MWh. 

Europe Stock Movers

Automobile makers advanced in Frankfurt and Paris, and luxury stocks in Paris rebounded from last week's weakness. 

Volkswagen AG gained 3.4% to €89.74, Mercedes-Benz Group jumped 4.2% to €54.56, and Porsche Automobil Holding SE advanced 3.2% to €37.09. 

Hermes International gained 3.4% to €2,312.0, LVMH Moet Hennessy increased 3.4% to €632.0, and Kering SA added 2.4% to €231.0. 

BNP Paribas SA gained 2.9% to €59.97, Societe Generale increased 3.3% to €27.41, and UniCredit SpA advanced 1.2% to €38.79.

Japan's Benchmark Indexes Dropped 1%, Toyota's U.S. Sales Struggled In December

Stock market indexes in Tokyo closed down in Monday's trading after investors returned from a weeklong holiday. 

The Nikkei 225 stock average decreased 1.5%, and the broader TOPIX index dropped 1% as investors worried about the rate path and domestic political uncertainties. 

The Nikkei 225 stock average advanced 19.2%, and the TOPIX index gained 17.7%, and both indexes advanced for the second year in a row. 

Market sentiment remained cautious on the first trading session of 2025 amid worries about the stability of the domestic minority government, a potential increase in U.S. tariffs on Japanese goods, and rising competition from Chinese electric vehicle makers.

Japan Stock Movers 

The Nikkei 225 Stock Average declined 1.5% to 39,307.08, and the broader TOPIX index fell 1% to 2,755.44. 

Technology stocks, financial services providers, and retailers lacked momentum in Tokyo trading. 

Tokyo Electron Ltd. increased 0.5% to ¥24,305.0, Advantest Corp. added 1% to ¥24,305.0, and Screen Holdings advanced 1.3% to ¥9,611.0. 

Toyota Motor declined 4.4% to ¥3,008.0 after the vehicle maker reported a decline in sales in the final quarter in the U.S. 

The company reported fourth quarter sales of 603,104 vehicles, a decrease of 2.7% on a volume basis and a decrease of 5.2% on a daily sales rate basis compared to the fourth quarter of 2023. 

December 2024 U.S. sales totaled 209,953 vehicles, a decrease of 7.1% on a volume basis and a decrease of 3.4% on a DSR basis compared to December 2023.

Toyota Motor North America sales increased 3.7% to 2,332,623 vehicles on a volume basis and an increase of 3.1% on a daily selling rate, or DSR basis, compared to 2023.

Lexus division reported its best-ever annual sales in its 35-year history. 

Nippon Steel Corp. declined 0.4% to ¥3,160.0 after U.S. President Joe Biden blocked the company's $15 billion deal to acquire the Pittsburgh-based U.S. Steel. 

Nippon Steel president Tadashi Imai said the company is reviewing its options, including suing the U.S. government for blocking its acquisition. 

Fast Retailing Co. Ltd. dropped 4.2% to ¥51,560.0, and Seven I Holdings declined 1.9% to ¥2,439.50 ahead of their earnings reports. 

Dai-ichi Life Holdings decreased 0.05% to ¥4,233.0 after the insurance company took a loss of ¥140 billion after it sold ¥500 billion Japanese government notes with maturities of 20 and 40 years, in the fiscal-half ending in September. 

Japan's Benchmark Indexes Dropped 1%, Toyota's U.S. Sales Struggled In December

Stock market indexes in Tokyo closed down in Monday's trading after investors returned from a weeklong holiday. 

The Nikkei 225 stock average decreased 1.5%, and the broader TOPIX index dropped 1% as investors worried about the rate path and domestic political uncertainties. 

The Nikkei 225 stock average advanced 19.2%, and the TOPIX index gained 17.7%, and both indexes advanced for the second year in a row. 

Market sentiment remained cautious on the first trading session of 2025 amid worries about the stability of the domestic minority government, a potential increase in U.S. tariffs on Japanese goods, and rising competition from Chinese electric vehicle makers.

Japan Stock Movers 

The Nikkei 225 Stock Average declined 1.5% to 39,307.08, and the broader TOPIX index fell 1% to 2,755.44. 

Technology stocks, financial services providers, and retailers lacked momentum in Tokyo trading. 

Tokyo Electron Ltd. increased 0.5% to ¥24,305.0, Advantest Corp. added 1% to ¥24,305.0, and Screen Holdings advanced 1.3% to ¥9,611.0. 

Toyota Motor declined 4.4% to ¥3,008.0 after the vehicle maker reported a decline in sales in the final quarter in the U.S. 

The company reported fourth quarter sales of 603,104 vehicles, a decrease of 2.7% on a volume basis and a decrease of 5.2% on a daily sales rate basis compared to the fourth quarter of 2023. 

December 2024 U.S. sales totaled 209,953 vehicles, a decrease of 7.1% on a volume basis and a decrease of 3.4% on a DSR basis compared to December 2023.

Toyota Motor North America sales increased 3.7% to 2,332,623 vehicles on a volume basis and an increase of 3.1% on a daily selling rate, or DSR basis, compared to 2023.

Lexus division reported its best-ever annual sales in its 35-year history. 

Nippon Steel Corp. declined 0.4% to ¥3,160.0 after U.S. President Joe Biden blocked the company's $15 billion deal to acquire the Pittsburgh-based U.S. Steel. 

Nippon Steel president Tadashi Imai said the company is reviewing its options, including suing the U.S. government for blocking its acquisition. 

Fast Retailing Co. Ltd. dropped 4.2% to ¥51,560.0, and Seven I Holdings declined 1.9% to ¥2,439.50 ahead of their earnings reports. 

China Policy Officials and PBoC Governor Vow to Offer More Stimulus Support

Investor sentiment in China and Hong Kong remained subdued amid worries of ongoing economic growth deceleration and lack of corporate earnings growth. 

The Hang Seng index declined 0.4%, and the mainland-focused CSI 300 index dropped 0.2% amid fading hopes of imminent steps by Beijing to revive consumer spending. 

Over the weekend the People's Bank of China announced its plans to offer more liquidity support for the purchase of stocks to institutional investors. 

The country's top economic planner said that China plans to expand its trade-in program to cover industrial equipment, computer devices, and other electronic items.

In 2025, China's trade-in program will cover many industrial equipment categories and personal computing devices funded by long-term bonds, said Yuan Da, deputy secretary general of the National Development and Reform Commission, at a press conference held on Friday. 

As of August, Beijing had distributed 150 billion yuan, or about $21 billion, to local governments to subsidize purchases of home appliances and electric vehicles. 

However, the trade-in program is likely to be less effective in 2025 amid waning demand for durable goods and falling retail sales in Beijing and Shanghai. 

Leaders of the Shanghai and Shenzhen stock exchanges confirmed that they recently held meetings with foreign investors reaffirming their commitments to capital markets reforms. 

Despite public announcements by policy officials and market regulators, market sentiment remained negative amid ongoing weakness in the property market and the manufacturing sector. 

The Caixin Manufacturing PMI eased to 50.5 in December from 51.5 in November, confirming the slowdown reported by the official measure reported by the statistical bureau on December 31. 

The Caixin China General Services PMI rose to 52.2 in December from 51.5 in November, a seven-month high. 

The services sector activities accelerated amid rising domestic orders despite falling export orders. and upbeat sentiment. 

China Stock Movers 

The Hang Seng index decreased 0.4% to 19,683.12, and the mainland-focused CSI 300 index fell 0.2% to 3,767.0. 

Tech stocks advanced in the hopes of higher sales after policymakers vowed to expand the trade-in program. 

Lenovo Group increased 0.7% to HK $9.90, SMIC gained 0.7% to HK $29.75, and Contemporary Amperex Technology Co Ltd decreased 0.6% to ¥255.88. 

China Vanke Co. Ltd. decreased 1.4% to HK $5.02, China Resources Land fell 1.1% to HK $22.20, and Longfor Group Holdings fell 0.1% to HK $9.90. 

Alibaba Group declined 0.5% to HK $82.15, Baidu Inc. fell 0.6% to HK $80.60, JD.com added 1.1% to HK $135.60, and Meituan dropped 3.1% to HK $148.90. 

China Policy Officials and PBoC Governor Vow to Offer More Stimulus Support

Investor sentiment in China and Hong Kong remained subdued amid worries of ongoing economic growth deceleration and lack of corporate earnings growth. 

The Hang Seng index declined 0.4%, and the mainland-focused CSI 300 index dropped 0.2% amid fading hopes of imminent steps by Beijing to revive consumer spending. 

Over the weekend the People's Bank of China announced its plans to offer more liquidity support for the purchase of stocks to institutional investors. 

The country's top economic planner said that China plans to expand its trade-in program to cover industrial equipment, computer devices, and other electronic items.

In 2025, China's trade-in program will cover many industrial equipment categories and personal computing devices funded by long-term bonds, said Yuan Da, deputy secretary general of the National Development and Reform Commission, at a press conference held on Friday. 

As of August, Beijing had distributed 150 billion yuan, or about $21 billion, to local governments to subsidize purchases of home appliances and electric vehicles. 

However, the trade-in program is likely to be less effective in 2025 amid waning demand for durable goods and falling retail sales in Beijing and Shanghai. 

Leaders of the Shanghai and Shenzhen stock exchanges confirmed that they recently held meetings with foreign investors reaffirming their commitments to capital markets reforms. 

Despite public announcements by policy officials and market regulators, market sentiment remained negative amid ongoing weakness in the property market and the manufacturing sector. 

The Caixin Manufacturing PMI eased to 50.5 in December from 51.5 in November, confirming the slowdown reported by the official measure reported by the statistical bureau on December 31. 

The Caixin China General Services PMI rose to 52.2 in December from 51.5 in November, a seven-month high. 

The services sector activities accelerated amid rising domestic orders despite falling export orders. and upbeat sentiment. 

China Stock Movers 

The Hang Seng index decreased 0.4% to 19,683.12, and the mainland-focused CSI 300 index fell 0.2% to 3,767.0. 

Tech stocks advanced in the hopes of higher sales after policymakers vowed to expand the trade-in program. 

Lenovo Group increased 0.7% to HK $9.90, SMIC gained 0.7% to HK $29.75, and Contemporary Amperex Technology Co Ltd decreased 0.6% to ¥255.88. 

China Vanke Co. Ltd. decreased 1.4% to HK $5.02, China Resources Land fell 1.1% to HK $22.20, and Longfor Group Holdings fell 0.1% to HK $9.90. 

Alibaba Group declined 0.5% to HK $82.15, Baidu Inc. fell 0.6% to HK $80.60, JD.com added 1.1% to HK $135.60, and Meituan dropped 3.1% to HK $148.90. 

India Movers: Adani Wilmar, Bajaj Finance, FSN E-Commerce, Hindustan Unilever, Reliance Industries

Stock market indexes looked down in cautious trading as investors awaited the release of GDP data and surveys on manufacturing and services sectors activities. 

The Sensex index decreased by 0.1% to 77,9106.03, and the Nifty index fell by 0.3% to 23,945.73. 

On the Mumbai stock exchange, 106 stocks traded at their 52-week highs, and 29 stocks traded at their 52-week lows.

The yield on the 10-year Indian government bonds inched lower to 6.82%, and the Indian rupee eased to a new record low of 85.77 against the U.S. dollar.

Bajaj Finance Ltd. increased 1.9% to ₹7,544.80 after the company released its deposit and loan book data for the fiscal third quarter. 

The company said its assets under management increased 28% from a year ago to ₹3.98 lakh crore at the end of 2024, compared to ₹3.11 lakh crore a year ago. 

Total deposits increased 19% to ₹68,800 crore from ₹58,008 crore a year ago. 

FSN E-Commerce Ventures Ltd. advanced 2.8% to ₹172.75 amid expectations that the parent company of beauty and cosmetic products online retailer is likely to sustain revenue growth of more than 20% in the current fiscal year.

Adani Wilmar Ltd. decreased 0.2% to ₹328.20 after the company reported fiscal third quarter revenue increased 33%, driven by a 6% rise in volume growth. 

Reliance Industries Ltd. decreased 0.1% to ₹1,251.46 after local reports confirmed that the company raised $3 billion from a consortium of 11 banks, the largest borrowing by the company in two years. 

Hindustan Unilever Ltd. dropped 1.3% to ₹2,374.25, and the company is said to be in advanced talks to acquire skincare brand Minimalist for as much as ₹3,000 crore. 

India Movers: Adani Wilmar, Bajaj Finance, FSN E-Commerce, Hindustan Unilever, Reliance Industries

Stock market indexes looked down in cautious trading as investors awaited the release of GDP data and surveys on manufacturing and services sectors activities. 

The Sensex index decreased by 0.1% to 77,9106.03, and the Nifty index fell by 0.3% to 23,945.73. 

On the Mumbai stock exchange, 106 stocks traded at their 52-week highs, and 29 stocks traded at their 52-week lows.

The yield on the 10-year Indian government bonds inched lower to 6.82%, and the Indian rupee eased to a new record low of 85.77 against the U.S. dollar.

Bajaj Finance Ltd. increased 1.9% to ₹7,544.80 after the company released its deposit and loan book data for the fiscal third quarter. 

The company said its assets under management increased 28% from a year ago to ₹3.98 lakh crore at the end of 2024, compared to ₹3.11 lakh crore a year ago. 

Total deposits increased 19% to ₹68,800 crore from ₹58,008 crore a year ago. 

FSN E-Commerce Ventures Ltd. advanced 2.8% to ₹172.75 amid expectations that the parent company of beauty and cosmetic products online retailer is likely to sustain revenue growth of more than 20% in the current fiscal year.

Adani Wilmar Ltd. decreased 0.2% to ₹328.20 after the company reported fiscal third quarter revenue increased 33%, driven by a 6% rise in volume growth. 

Reliance Industries Ltd. decreased 0.1% to ₹1,251.46 after local reports confirmed that the company raised $3 billion from a consortium of 11 banks, the largest borrowing by the company in two years. 

Hindustan Unilever Ltd. dropped 1.3% to ₹2,374.25, and the company is said to be in advanced talks to acquire skincare brand Minimalist for as much as ₹3,000 crore. 

S&P 500 and Nasdaq Composite Extend 20% Plus Rally Second Consecutive Year In 2024

Stock market indexes on Wall Street inched higher on the final trading day of the year as investors remained optimistic about the upcoming year. 

The S&P 500 index inched higher by 0.1%, and the Nasdaq Composite advanced by 0.01% in light trading, and both benchmark indexes are set to close up more than 20% for the second year in a row. 

In December, the S&P 500 index is down 2.3%, and the Nasdaq Composite is up 1.4% as tech and high growth retained upward bias. 

Benchmark indexes gained for the fifth quarter in a row for the first time in three years, and the S&P 500 index advanced 2.5%, and the Nasdaq surged 7.1%. 

Investors are hoping that the new presidential administration will succeed in lowering corporate taxes and in relaxing key financial regulations and that the current economic momentum will continue in 2025.

The S&P 500 index advanced 24.9%, and the Nasdaq Composite jumped 32.1% in 2024.

The strong economic growth and labor market conditions, falling interest rates, enthusiasm surrounding artificial intelligence, and post-election euphoria drove benchmark indexes above 20% for the second consecutive year in 2024. 

U.S. Indexes and Treasury Yields

The S&P 500 index increased 0.1% to 5,915.16, the Nasdaq Composite rose 0.04% to 19,475.84, and the Russell 2000 index decreased by 0.8% to 2,227.78. 

The yield on 2-year Treasury notes edged lower to 4.24%, 10-year Treasury notes inched down to 4.52%, and 30-year Treasury bonds increased to 4.73%.

WTI crude oil decreased $0.06 to $70.93 a barrel, and natural gas prices edged down 11 cents to $3.82 a thermal unit.

Gold increased by $1.01 to $2,607.90 an ounce, and silver fell by $0.09 to $28.84. 

The dollar index, which weighs the US currency against a basket of foreign currencies, edged higher by 0.13 to 108.18 and traded at a two-year high. 

U.S. Stock Movers 

Crypto stocks linked to bitcoin advanced after the price of the cryptocurrency rose by 2.5% to $95,371.39. 

MicroStrategy jumped 3.3% to $310.75, and Coinbase increased 1.1% to $258.23. 

S&P 500 and Nasdaq Composite Extend 20% Plus Rally Second Consecutive Year In 2024

Stock market indexes on Wall Street inched higher on the final trading day of the year as investors remained optimistic about the upcoming year. 

The S&P 500 index inched higher by 0.1%, and the Nasdaq Composite advanced by 0.01% in light trading, and both benchmark indexes are set to close up more than 20% for the second year in a row. 

In December, the S&P 500 index is down 2.3%, and the Nasdaq Composite is up 1.4% as tech and high growth retained upward bias. 

Benchmark indexes gained for the fifth quarter in a row for the first time in three years, and the S&P 500 index advanced 2.5%, and the Nasdaq surged 7.1%. 

Investors are hoping that the new presidential administration will succeed in lowering corporate taxes and in relaxing key financial regulations and that the current economic momentum will continue in 2025.

The S&P 500 index advanced 24.9%, and the Nasdaq Composite jumped 32.1% in 2024.

The strong economic growth and labor market conditions, falling interest rates, enthusiasm surrounding artificial intelligence, and post-election euphoria drove benchmark indexes above 20% for the second consecutive year in 2024. 

U.S. Indexes and Treasury Yields

The S&P 500 index increased 0.1% to 5,915.16, the Nasdaq Composite rose 0.04% to 19,475.84, and the Russell 2000 index decreased by 0.8% to 2,227.78. 

The yield on 2-year Treasury notes edged lower to 4.24%, 10-year Treasury notes inched down to 4.52%, and 30-year Treasury bonds increased to 4.73%.

WTI crude oil decreased $0.06 to $70.93 a barrel, and natural gas prices edged down 11 cents to $3.82 a thermal unit.

Gold increased by $1.01 to $2,607.90 an ounce, and silver fell by $0.09 to $28.84. 

The dollar index, which weighs the US currency against a basket of foreign currencies, edged higher by 0.13 to 108.18 and traded at a two-year high. 

U.S. Stock Movers 

Crypto stocks linked to bitcoin advanced after the price of the cryptocurrency rose by 2.5% to $95,371.39. 

MicroStrategy jumped 3.3% to $310.75, and Coinbase increased 1.1% to $258.23. 

European Markets Struggled to Advance In 2024 Amid Rising Political Uncertainties and Trade Tensions

On the final trading day of the year, European markets edged slightly higher in thin trading. 

The CAC-40 index gained 0.6%, and the FTSE 100 index advanced 0.7% amid weak trading activity and lack of momentum. 

Markets in Germany, Switzerland, and Italy are closed today, and stock exchanges in Paris and London are set to operate fewer than regular hours. 

European markets struggled to advance in 2024 amid rising political turmoil in Germany and France, an impending tariff war with the U.S., and the deepening woes of the automotive industry. 

In 2024, France was the worst performer in Europe, with the CAC 40 down 2.3% as frequent changes of government and a lack of progress on the financial budget weighed on investor sentiment. 

France is struggling to pass a fiscal budget and bring down its annual deficit to below 5% amid infighting among lawmakers from three blocs with a minority government in charge. 

Germany led the region with a gain of 18%, driven in large part by the cuts in interest rates and sustained global exports, despite the weakening domestic consumer demand. 

However, investors are cautious in the year ahead as a divided parliament in France impedes progress on much-needed fiscal reforms, and far-right ideology-driven parties are expected to make strong gains in the upcoming national election in Germany. 

Europe Indexes and Yields

The CAC-40 index rose by 0.6% to 7,357.67, and the FTSE 100 index inched higher by 0.7% to 8,175.17. 

The yield on 10-year German bonds edged higher to 2.36%, French bonds rose to 3.19%, the UK gilts decreased to 4.55%, and Italian bonds rose to 3.52%.

The euro edged lower to $1.038; the British pound inched up to $1.249; and the U.S. dollar strengthened to 90.48 Swiss cents.

Brent crude increased $0.45 to $74.45 a barrel, and the Dutch TTF natural gas rose by €0.83 to €49.05 per MWh. 

Europe Stock Movers

Bunzl plc gained 0.4% to 3,307.30 pence after the British distribution and outsourcing company announced that it plans to launch the first tranche of its stock buyback program of £200 million on January 2. 

Wizz Air gained 1.9% to 1,449.38 pence after the deep discount airline said it plans to return to growth in 2026 as it takes deliveries of 50 new A321 neo, giving the airline flexibility to increase its passenger capacity by 20%. 

The company also signed a two-year commercial support agreement with Pratt & Whitney, which includes a compensation package covering the airline's current and future groundings. 

European Markets Struggled to Advance In 2024 Amid Rising Political Uncertainties and Trade Tensions

On the final trading day of the year, European markets edged slightly higher in thin trading. 

The CAC-40 index gained 0.6%, and the FTSE 100 index advanced 0.7% amid weak trading activity and lack of momentum. 

Markets in Germany, Switzerland, and Italy are closed today, and stock exchanges in Paris and London are set to operate fewer than regular hours. 

European markets struggled to advance in 2024 amid rising political turmoil in Germany and France, an impending tariff war with the U.S., and the deepening woes of the automotive industry. 

In 2024, France was the worst performer in Europe, with the CAC 40 down 2.3% as frequent changes of government and a lack of progress on the financial budget weighed on investor sentiment. 

France is struggling to pass a fiscal budget and bring down its annual deficit to below 5% amid infighting among lawmakers from three blocs with a minority government in charge. 

Germany led the region with a gain of 18%, driven in large part by the cuts in interest rates and sustained global exports, despite the weakening domestic consumer demand. 

However, investors are cautious in the year ahead as a divided parliament in France impedes progress on much-needed fiscal reforms, and far-right ideology-driven parties are expected to make strong gains in the upcoming national election in Germany. 

Europe Indexes and Yields

The CAC-40 index rose by 0.6% to 7,357.67, and the FTSE 100 index inched higher by 0.7% to 8,175.17. 

The yield on 10-year German bonds edged higher to 2.36%, French bonds rose to 3.19%, the UK gilts decreased to 4.55%, and Italian bonds rose to 3.52%.

The euro edged lower to $1.038; the British pound inched up to $1.249; and the U.S. dollar strengthened to 90.48 Swiss cents.

Brent crude increased $0.45 to $74.45 a barrel, and the Dutch TTF natural gas rose by €0.83 to €49.05 per MWh. 

Europe Stock Movers

Bunzl plc gained 0.4% to 3,307.30 pence after the British distribution and outsourcing company announced that it plans to launch the first tranche of its stock buyback program of £200 million on January 2. 

Wizz Air gained 1.9% to 1,449.38 pence after the deep discount airline said it plans to return to growth in 2026 as it takes deliveries of 50 new A321 neo, giving the airline flexibility to increase its passenger capacity by 20%. 

The company also signed a two-year commercial support agreement with Pratt & Whitney, which includes a compensation package covering the airline's current and future groundings. 

China and Hong Kong Indexes Halted Multi-Year Slide In 2024 Amid Decelerating Economic Growth

Stock market indexes in China closed down, but in Hong Kong were nearly unchanged in thin trading on the final trading day of 2024. 

The Hang Seng index was nearly unchanged, and the CSI 300 index dropped more than 1% amid decelerating economic growth and lack of clarity about the fiscal stimulus implementation plans. 

The Hang Seng index advanced 19.5% in 2024, halting a four-year slide after China's political leaders promised a raft of fiscal stimulus measures to alleviate the debt burden on local governments and support the rebound in property market activities. 

After the initial spurt, market enthusiasm waned in the last three months of trading, as policymakers failed to announce stimulus implementation steps and measures to revive consumer demand. 

Market indexes are likely to face a sharp selloff in the first quarter of 2025 if policymakers show a lack of urgency in implementing fiscal measures and announce new measures to support consumer demand. 

In addition, corporate earnings estimates for 2025 are expected to be downwardly revised as Chinese annual economic growth continues to shift downward over the next five years to 2% from the current 5%. 

On the economic front, China's manufacturing PMI edged lower to 50.1 in December, the National Bureau of Statistics reported Tuesday. 

The official reading on the manufacturing sector expanded for the third consecutive month, confirming uneven economic recovery. 

The non-manufacturing PMI rose to 52.2 in December from 50.0 in November, the statistical bureau said in a separate report today. 

The non-manufacturing sector indicator, which includes the service and the construction sectors, jumped to the highest level since March, confirming the latest flurry of stimulus measures is supporting the latest rebound. 

China Stock Movers 

The Hang Seng index was nearly unchanged at 20,059.95, and the CSI 300 index declined 1.6% to 3,934.91. 

China Vanke declined 0.3% to HK $5.29, China Resources Land decreased 0.1% to HK $22.55, and Henderson Land Development Ltd. dropped 0.4% to HK $23.60. 

Li Auto fell 4.3% to HK $93.95, BYD decreased 0.2% to HK $266.60, and Geely Automobile Holding advanced 1.2% to HK $14.82. 

China and Hong Kong Indexes Halted Multi-Year Slide In 2024 Amid Decelerating Economic Growth

Stock market indexes in China closed down, but in Hong Kong were nearly unchanged in thin trading on the final trading day of 2024. 

The Hang Seng index was nearly unchanged, and the CSI 300 index dropped more than 1% amid decelerating economic growth and lack of clarity about the fiscal stimulus implementation plans. 

The Hang Seng index advanced 19.5% in 2024, halting a four-year slide after China's political leaders promised a raft of fiscal stimulus measures to alleviate the debt burden on local governments and support the rebound in property market activities. 

After the initial spurt, market enthusiasm waned in the last three months of trading, as policymakers failed to announce stimulus implementation steps and measures to revive consumer demand. 

Market indexes are likely to face a sharp selloff in the first quarter of 2025 if policymakers show a lack of urgency in implementing fiscal measures and announce new measures to support consumer demand. 

In addition, corporate earnings estimates for 2025 are expected to be downwardly revised as Chinese annual economic growth continues to shift downward over the next five years to 2% from the current 5%. 

On the economic front, China's manufacturing PMI edged lower to 50.1 in December, the National Bureau of Statistics reported Tuesday. 

The official reading on the manufacturing sector expanded for the third consecutive month, confirming uneven economic recovery. 

The non-manufacturing PMI rose to 52.2 in December from 50.0 in November, the statistical bureau said in a separate report today. 

The non-manufacturing sector indicator, which includes the service and the construction sectors, jumped to the highest level since March, confirming the latest flurry of stimulus measures is supporting the latest rebound. 

China Stock Movers 

The Hang Seng index was nearly unchanged at 20,059.95, and the CSI 300 index declined 1.6% to 3,934.91. 

China Vanke declined 0.3% to HK $5.29, China Resources Land decreased 0.1% to HK $22.55, and Henderson Land Development Ltd. dropped 0.4% to HK $23.60. 

Li Auto fell 4.3% to HK $93.95, BYD decreased 0.2% to HK $266.60, and Geely Automobile Holding advanced 1.2% to HK $14.82.