Stock Market Update

[BRIEFING.COM] The S&P 500 (-0.3%), Nasdaq Composite (-0.2%), and DJIA (-0.5%) are modestly improved from opening lows that came as a result of a sharp sell-off in Bitcoin and other cryptocurrencies this morning. 

Unsurprisingly, digital brokerages and crypto-related plays such as Coinbase Global (COIN 257.08, -15.74, -5.77%), Robinhood Markets (HOOD 122.49, -6.00, -4.67%), Strategy Inc (MSTR 157.99, -19.19, -10.83%), and Bitmine Immersion Technologies (BMNR 29.04, -4.08, -12.32%) remain some of the biggest laggards, though the broader market is well off of its worst levels. 

In particular, the information technology (+0.1%) has mounted an impressive intraday move after holding a 1.3% loss early in the session. 

NVIDIA (NVDA 179.93, +2.93, +1.66%) provides strong leadership after announcing a strategic partnership with Synopsys (SNPS 433.44, +15.43, +3.69%) in which the companies will advance agentic AI engineering using GPUs, accelerated computing, and digital-twin technologies.

Mega-cap performance is mixed today, but a widening gain in Amazon (AMZN 234.54, +1.32, +0.57%) has kept the consumer discretionary sector (+0.5%) seated with a gain for the majority of the session. 

Meanwhile, the energy sector (+1.0%) is the top advancer, supported by a $0.79 (+1.4%) increase in the price of oil to $59.34 per barrel. OPEC+ announced that it will leave oil output levels steady for the first quarter of 2026.

Six S&P 500 sectors remain in negative territory, with the utilities sector (-2.0%) facing the widest loss amid a bump in long-term interest rates and some technical pressure as the sector has moved below its 50-day moving average (453.19). 

The health care (-1.1%) sector has also retreated steadily throughout the session despite the U.S. and U.K. reaching a broad pharmaceutical pricing agreement in which the U.K. will boost NHS payments for new medicines and ease rebate pressures, while the U.S. will lift tariff threats and drop investigations into U.K. pricing practices.

While December has started on a softer note, stocks are recovering from the early weakness, which was not strong enough to see the major averages test their 50-day moving averages. A solid rebound from the top-weighted information technology sector was pivotal in lifting the major averages to session highs and bodes well for a sector that has seen some recent choppiness. 

Reviewing today's data:

• Final November S&P Global U.S. Manufacturing PMI (actual 52.2 vs 51.9 prelim; prior 52.5)
• The November ISM Manufacturing Index checked in at 48.2% for November (Briefing.com consensus: 49.0%), down from 48.7% in October. The dividing line between expansion and contraction is 50.0%, so the November figure, which is the ninth straight month below 50.0%, suggests manufacturing activity contracted at a faster pace than the prior month.
  • The key takeaway from the report is that the manufacturing sector resembled a sector in a state of stagflation in November, punctuated by a faster pace of contraction, rising prices, and weakening employment.