Gotrade Daily: What to Watch as December Trading Begins
Markets edge back toward record highs while volatility stays elevated.
US stocks started December by grinding back toward record highs after a choppy November that tested investors’ nerves. The S&P 500 is now within roughly 1 percent of an all time high, the Dow Jones is less than 2 percent below its record, and the Nasdaq sits within about 3 percent of its peak despite breaking a seven month winning streak. Under the surface, the AI trade has splintered, with Meta (META), Nvidia (NVDA), and Oracle (ORCL) all under pressure over the past month while Alphabet (GOOG) has surged on strong earnings and excitement around its Gemini 3 model and potential AI chip deal with Meta.
In the week ahead, attention stays locked on the Federal Reserve and the odds of a December rate cut. Markets now price in roughly an 87 percent chance that the Fed trims rates by 25 basis points, even as policymakers enter a pre meeting blackout that will keep official comments quiet until the Dec 9-10 decision. At the same time, investors are watching reports that White House officials are circling Kevin Hassett as a potential successor to Jerome Powell, a choice seen as more supportive of a lower rate regime.
Macro data will also begin to normalize after the 43 day government shutdown disrupted releases, with private readings on manufacturing, services, and ADP private payrolls helping shape expectations into year end. On the earnings front, discount retailers Dollar Tree (DLTR), Dollar General (DG), and Five Below (FIVE) will offer a look at consumer resilience, while Salesforce (CRM) and CrowdStrike (CRWD) will be key for gauging demand in software and cybersecurity.
Looking further out, top strategists at JPMorgan, HSBC, and Deutsche Bank all project the S&P 500 could reach 7,500 to 8,000 by 2026, leaning on an AI driven capex and productivity cycle. Their base case is not a smooth ride, but a path where markets swing between bubble fears and growth optimism, with volatility acting as the “toll” investors pay for long term returns. For traders, that means positioning for an AI led earnings expansion while accepting that sharp sentiment swings are likely to remain part of the landscape.
📊 Market Wrap Dec 1st 2025
🧠 Analyst Notes
💬 Market Highlights
Accenture rebrands employees as “reinventors”
Accenture (ACN) introduced a new label for its workforce, calling employees “reinventors” as it leans into an AI first strategy and consolidates units under its Reinvention Services business. The move aims to position Accenture as a core AI transformation partner for global clients, although critics see the term as confusing jargon at a time when consulting demand and the company’s valuation have already come under pressure.
American Airlines nears completion of Airbus recall fixes
American Airlines (AAL) reported that only one of its 209 A320 aircraft still awaits a software update tied to a global Airbus recall that affected roughly 6,000 planes. The carrier expects to complete the final update within hours and does not anticipate any operational disruption, including during peak holiday travel.
Micron ramps AI memory capacity with new plant in Japan
Micron (MU) plans to invest about 9.6 billion dollars in a high bandwidth memory plant in Japan that will support next generation AI workloads and diversify supply away from Taiwan. Construction is expected to begin in May 2026 with first chips targeted for 2028, backed by up to 500 billion yen in Japanese government subsidies to strengthen the AI semiconductor supply chain.
📅 Earnings Watch
Markets are entering the final stretch of 2025 with indexes near record levels, AI at the center of both optimism and concern, and 2026 targets leaning higher. Traders will be watching how rate cut expectations, AI capex, and holiday data shape positioning into year end.
Which stocks are you watching today?
Disclaimer:
Gotrade is the trading name of Gotrade Securities Inc., registered with and supervised by the Labuan Financial Services Authority (LFSA). This content is for educational purposes only and does not constitute financial advice. Always do your own research (DYOR) before investing.
