While most of us were busy digesting turkey and hunting for bargains, the stock market decided to serve up its own feast of record highs on Friday.
Talk about a Black Friday deal!

⚡ Closing Bell:

• Dow Jones: ⬆️ +0.42% to 44,910.65.

• S&P 500: ⬆️ +0.6% to $6,032.44, a fresh closing peak.

• Nasdaq 100: ⬆️ +0.9% to 19,218.17 (6.2% monthly gain, best since May)

• Russell 2000: ⬆️ +0.4% as Treasury yields eased

Markets closed early at 1pm ET, with trading nearly half the usual volumes. Most investors opted for a long weekend, with many month-end position adjustments completed before the holiday break.
But, gains are gains, right?

Sector Scorecard:
→ Tech took the spotlight, with nearly all S&P 500 sectors joining the rally.
→ Real estate stayed on the sidelines.

Bonds:

• U.S. 10-year Treasury yields: ⬇️ -6.8 bps to 4.174%

❗ What’s next: As we roll into December, investors will be watching for:

1. Fed Chair Powell’s speech (Wednesday): 65% chance of another 25bp cut in December.

2. November jobs report (also Friday)

3. Any signs of that fabled “Santa Claus rally”: Will Wall Street continue its year-end momentum?

#TRUTH:
❗❗❗ “Seeing is believing, but sometimes the most real things in the world are the things we can’t see.” ~ The Polar Express (movie)

Thanksgiving Parade 🦃:

The Magnificent 7 tech stocks strutted their dominance, climbing 1.4% as a group. Year-to-date, the group has surged an impressive 52%—even without Nvidia’s stellar gains, the rise still stands at a robust 31%.

The Winners’ Circle 🏆:

• Tesla: ⬆️ +3.68% to $345.41, contributing to the tech sector’s rally.

• Nvidia (NVDA): ⬆️ +2.15%, extending its impressive year-to-date gains.

• Philadelphia Semiconductor Index (SOX): ⬆️ +1.5%, rebounding from midweek losses.

• Ralph Lauren: ⬆️ +3.90% to $231.40 (taking the S&P 500 crown)

• Google: ⬇️ -0.18% to $168.90 (the day’s outlier)

Retail Stocks Shine:

• Target (TGT): ⬆️ +1.71%

• Macy’s (M): ⬆️ +1.8%

• Black Friday Buzz: Adobe Analytics estimated record-breaking $10.8 billion in online Black Friday sales, a 9.9% jump from last year.

The Third Wave 🌊:

The U.S. is launching its third major semiconductor crackdown, targeting 140 Chinese companies just weeks before Trump takes office. This continues a pattern of escalating restrictions that began in 2020.

Who’s Affected?

• Chinese Targets: Naura Technology, Huawei-linked firms, SMIC (additional restrictions), Piotech and SiCarrier Technology, and more.

• Global Fallout: U.S. firms like Lam Research and KLA, plus Dutch giant ASM International.

• Memory makers: Samsung, SK Hynix (HBM chips)

• Investment Firms: Chinese private equity firm Wise Road Capital and Wingtech Technology join the blacklist.

Market Share of Semiconductor Companies Under New Restrictions

New Restrictions

• Export Curbs: Extending the foreign direct product rule, giving the U.S. power over globally manufactured goods with any U.S. chip content.

• Exemptions: Equipment from Malaysia, Singapore, Israel, Taiwan, South Korea are affected. However, Japan and the Netherlands escape the harshest measures to maintain strong alliances.

• Memory Limits: AI-grade chips like HBM 2 from Samsung and SK Hynix face new export barriers, 24 additional chipmaking tools and 3 software tools

The Dollar 💵:

The dollar edged higher today (Monday), buoyed by shifting rate expectations and a surprising move from President-elect Donald Trump. Over the weekend, Trump threatened 100% tariffs on BRICS nations unless they abandoned plans for rival currencies to the dollar. The tough stance rippled through global markets, sending key currencies into retreat.

• Chinese yuan: ⬇️ -1.2%, hitting a three-month low at 7.2662 per dollar.

• Indian rupee: ⬇️ -0.8%, touching record lows.

• Euro: ⬇️ -0.4%, pressured by political uncertainty in France.

• Yen: ⬆️ +0.4%, rebounding as Japan hinted at rate hikes.

Commodities Check: ✔️

Friday close:

• Gold: ⬆️ +0.42% to $2,652.09 per ounce

• U.S. crude: ⬇️ -0.42% to $68.43
  Brent crude: ⬇️ -0.3% to $73.06
  (Israel-Hezbollah ceasefire eased supply concerns.)

• Silver: ⬆️ +0.5% settling at $30.61 per ounce

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Disclaimer

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