Wall Street Ends November Up Amid Rate-Cut Hopes

Wall Street ended a volatile November on a positive note, marking its fifth consecutive day of gains. The S&P 500 rose 0.5% in abbreviated trading Friday, finishing the month with a slim 0.1% gain. The Dow Jones added 289 points (0.6%), while the Nasdaq climbed 0.7% but fell 1.5% for the month due to declines in some major tech stocks.

Investor attention shifted to the Federal Reserve, with expectations that the central bank may cut interest rates at its December 10 meeting. Traders now place an 87% probability on a rate cut, hoping it will support the slowing job market, even as inflation concerns linger.

Tech stocks showed mixed results in November. Nvidia fell 1.8% Friday, ending the month with a double-digit loss, while Oracle and Palantir dropped 23% and 16%, respectively. Alphabet, buoyed by its new Gemini AI model, surged nearly 14%.

Retailers saw varying results post-Black Friday. Macy’s slipped 0.3%, Kohl’s gained 1.4%, and specialty stores like Abercrombie & Fitch and American Eagle Outfitters rose 2.9% and 0.7%, respectively.

Investors also rotated into other sectors, with pharmaceutical giants Eli Lilly and Merck posting over 20% gains for the month. Travel companies like Marriott and Expedia also performed strongly.

Markets experienced technical disruptions earlier in the day, with futures halted for hours due to a data center outage at the Chicago Mercantile Exchange. Treasury yields edged higher, with the 10-year yield at 4.02%.

Internationally, Europe saw modest gains, with Germany’s DAX and France’s CAC 40 each rising 0.3%, while Japan’s Nikkei 225 climbed 0.2%. South Korea’s Kospi fell 1.5% amid weaker industrial production data.