Traders work on the floor at the New York Stock Exchange in New York City, US, December 10, 2024.
Brendan McDiarmid | Reuters
This report is from today's CNBC Daily Open, the international markets newsletter. CNBC Daily Open keeps investors informed on everything they need to know, no matter where they are. Like what you see? You can subscribe here.
What you need to know today
Nasdaq outperforms
US stocks ended mixed on Friday. the Standard & Poor's 500 was flat, Dow Jones Industrial Average It lost 0.2% for the seventh consecutive day of losses Nasdaq Composite He added 0.12%. shares Broadcom Its shares jumped 24%, pushing it into the trillion-dollar market cap club. Regional Europe Stokes 600 It fell 0.53% to end the week in the red, snapping a three-week winning streak.
OpenAI speaks frankly about Musk
OpenAI co-founder Elon Musk pushed to create a new for-profit structure for the company in 2017, OpenAI claimed in a blog post. However, “when he did not obtain majority shares and full control, he withdrew,” OpenAI wrote alongside screenshots of Musk’s email. In November, Musk asked a federal court to block OpenAI from becoming a for-profit entity.
Tech companies donate to Trump
Technology companies with a history of clashes with US President-elect Donald Trump are donating to his inauguration. dead The company confirmed to CNBC that it had donated $1 million. Amazon The company plans to donate the same amount, according to the Wall Street Journal, and OpenAI CEO Sam Altman is also making a personal donation of the same amount, according to the company.
Impeachment of the President of South Korea
South Korean President Yoon Suk-yeol was impeached on Saturday after 204 lawmakers in the National Assembly voted in favor of the proposal. Prime Minister Han Dak Su will serve as acting president. On Sunday, Hahn spoke with US President Joe Biden, and the country's Finance Ministry said it would continue to monitor markets.
(PRO) Eyes on prices and rates
Interest rates and inflation are in focus this week. The US Federal Reserve's interest rate meeting ends on Wednesday, while the Personal Consumption Expenditures Price Index, the Fed's preferred measure of inflation because it reflects how consumers actually spend their money, will be released on Friday.
Bottom line
Coming to the almost certain conclusion of which direction the markets are headed is to make a prediction – and ignore it.
the Standard & Poor's 500 It may have fallen 0.6% last week, snapping a three-week winning streak. But it is still up about 27% this year, breaking the 6,000 level for the first time in its upward journey.
This far exceeds the forecasts made by top financial strategists at the end of 2023, notes CNBC's Pia Singh. JP Morgan For example, chief US equity strategist Dubravko Lakos Bogas expects the broad-based index to close the year at just 4,200 points. And even the most optimistic forecast — a 5,200-point target from John Stoltzfus, the bank's chief investment strategist. Oppenheimer – Didn't catch the stock's exuberant rally this year.
That's why, even though market strategists expect the S&P to end 2025 at 6,630, according to the median forecast from the CNBC Market Strategist Survey, investors should treat it with a pinch of salt. There is certainly positive sentiment flowing among investors, thanks to Trump's high regard for the stock market as a barometer of his presidential term, his steady easing of monetary policy, and the prospect of a corporate tax cut, among other factors. But in the markets – as in life – the best laid plans of mice and men often fail.
Inflation could return in an unwelcome way – like measles and perhaps polio in the US – because of the tariffs promised by Trump and the tit-for-tat trade wars that might ensue. Inflation already “seems a bit stuck,” he said. Goldman Sachs Vice Chairman Robert Kaplan, former president of the Federal Reserve Bank of Dallas.
However, despite my doubts about the forecast, I love it Bank of America Savita Subramanian has proven to be a visionary market forecaster. Imagine ending 2025 with the S&P reaching Subramanian's target of 6,666.
CNBC's Sarah Min, Pia Singh, Sean Conlon and Samantha Subin contributed to this report.
