US STOCKS-Wall St set for flat open in post-Christmas session

The S&P 500 has risen more than 17% so far in 2025, driven by megacap tech companies for much of the year, but the rally has broadened of ​late, with investors piling into cyclical sectors such as financials and materials. Traders are waiting to see if the "Santa Claus rally" — a seasonal phenomenon ⁠where the S&P 500 posts gains in the last five trading days of the year and the first two in January, according to Stock Trader's Almanac — can happen this time.

‌Wall Street indexes were poised to open nearly flat in light post-Christmas trading on Friday, while investors bet that more interest rate cuts and strong corporate earnings would propel markets to fresh highs next year. The benchmark S&P 500 ⁠and the blue-chip Dow Jones Industrial Average closed at record highs on Wednesday, capping a broad rally in a holiday-shortened session.

Stocks have climbed in recent days after months of intermittent selloff, as AI-related companies faced pressure amid concerns over soaring valuations and high capital expenditures denting profits. However, signs of resilience in the U.S. economy, ​the prospect of a dovish pivot under a new Federal Reserve chair next year and renewed appetite for AI stocks have fueled a market recovery, ‍putting the S&P 500, Dow and Nasdaq on course for a third straight year of gains.

"2026 is likely going to be a 'prove-it' year for markets. Companies must deliver tangible productivity and margin gains from AI and other investments," said Brian Jacobsen, chief economist at Annex Wealth Management. Analysts expect profit for S&P 500 companies to increase 15.5% in 2026, an improvement from ⁠a 13.2% ‌growth forecast for 2025, according to data compiled ⁠by LSEG.

At 08:13 a.m. ET, Dow E-minis were down 66 points, or 0.13%, S&P 500 E-minis were down 3.5 points, or 0.05%, and Nasdaq 100 E-minis were up 9 points, ‍or 0.03%. The S&P 500 has risen more than 17% so far in 2025, driven by megacap tech companies for much of the year, but the rally has broadened of ​late, with investors piling into cyclical sectors such as financials and materials.

Traders are waiting to see if the "Santa Claus rally" — a seasonal phenomenon ⁠where the S&P 500 posts gains in the last five trading days of the year and the first two in January, according to Stock Trader's Almanac — can happen this time. That period began ⁠on Wednesday and will run through January 5. Nvidia shares edged up 0.7% in premarket trading, after the AI chip designer agreed to license chip technology from startup Groq and hire its CEO.

Micron Technology rose 2.1%, adding to its near 22% surge so far this month, driven by strong earnings ⁠forecasts. Biohaven slumped almost 13% after its experimental depression drug did not meet the main goal of a mid-stage trial, adding to a string of setbacks ⁠for the company this year.

Coupang rose ‌5.8% after the online retailer said all the customer information leaked from the South Korean company has been deleted by the suspect. U.S.-listed shares of precious metal miners such as First Majestic, Coeur Mining and Endeavour Silver rose between ⁠2.5% and 3.1%, as silver and gold prices smashed fresh records again.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)