Record Highs Into Year-End as Stocks Rally and Gold Caps Historic Run
U.S. markets closed a quiet Christmas Eve session at record levels, with the S&P 500 and Dow Jones Industrial Average finishing at all-time highs as investors looked ahead to a shift in monetary policy. Treasury yields eased following mixed labor market data, reinforcing expectations that interest-rate cuts could arrive in 2026 as underlying employment conditions show signs of cooling.
While equities pushed higher, precious metals paused just below historic milestones. Gold hovered near the $4,500 mark after briefly breaking above it, while silver capped an extraordinary year of gains, reflecting strong demand for inflation hedges amid falling yields and a weakening dollar. Globally, markets also ended the year on a strong footing, with European and emerging market equities near record levels despite thin holiday trading volumes.
The combination of record equity closes, easing yields, and historic moves in gold underscores how market expectations have shifted heading into the new year, with investors increasingly focused on a softer growth outlook and looser financial conditions in 2026.