TheDrop Market Analysis, 12/12/24

Markets cooled as investors have different opinions on the state of the economy.

With president-elect Donald Trump ringing the starting bell, today's stock market experience was far from bullish. All index funds failed to persist the post-election stock rally despite Trump's election promises, particularly in stimulating the domestic economy through tax cuts and protective tariffs.

Some stocks made their all-time highs, including Apple, which set a new record (partially due to their switch over to home-made Wi-Fi and Bluetooth chips rather than ones from other chipmakers). Also, while not making all-time highs, Intel made a substantial recovery by 3%, possibly indicating a positive trend for the company, especially amid great competition with other CPU chipmakers.

Both Tesla and Nvidia fell after they recently made all-time highs or near all-time highs over the course of this week alone. Meta, Google, Microsoft were among others who also went through this similar circumstance, albeit much less severely.

Investors will continue to ponder if the Fed will cut rates as more inflation data comes in. While most met expectations, others have outlier results which may sway enthusiasm in the market. It seems as though the market is cooling down after its mid-week rally just a few days ago.