The S&P 500 and Nasdaq Composite began December trading with new record highs, extending November’s significant gains. The S&P 500 rose 0.24%, closing at 6,047.15, while the Nasdaq Composite gained 0.97% to finish at 19,403.95. Both indexes set fresh intraday and closing records. However, the Dow Jones Industrial Average fell by 0.29%, or 128.65 points, ending at 44,782.00. The blue-chip index briefly surpassed the 45,000 level during the session but could not maintain it.

November proved to be the best month of 2024 for both the Dow and the S&P 500, with gains of 7.5% and 5.7%, respectively. Small-cap stocks, represented by the Russell 2000, surged over 10% in November, marking their largest monthly gain this year.

This week, markets await critical economic data, including Friday’s payrolls report and Federal Reserve Chair Jerome Powell’s midweek remarks. Speculation about a potential December rate cut is growing after comments from Fed Governor Christopher Waller, which contributed to the ongoing rally. Treasury yields edged higher, with the 10-year rate increasing to 4.19%.

Historical patterns suggest December is typically a favorable month for equities, bolstered by seasonal and technical tailwinds. Analysts, however, warn of potential volatility as markets head into 2025.