Stock Market Update Wednesday December 11, 2024

Stock Market Update Wednesday December 11, 2024 Inline CPI data provided sufficient confirmation for risk-on sentiment, fueling a nearly 2% rally in the Nasdaq 100, which extended its year-to-date gains to over 31%. Equities surged as inflationary pressures appeared contained,

Away From Stocks: U.S. Treasury’s saw limited movement, with the 2-year yield holding steady at 4.15%, while the 30-year bond yield edged up 7 basis points to 4.48%, reflecting a modest steepening of the yield curve. In the commodities space, WTI crude oil rebounded sharply, reclaiming the $70 per barrel mark amid renewed energy demand optimism. Gold prices surged to a three-week high of $2,718 per ounce, signaling a flight to safety as investors sought inflation hedges and geopolitical insurance. Meanwhile, Bitcoin regained its six-figure price level, bolstered by favorable regulatory developments and bullish momentum within the broader digital asset space. Volatility expectations eased, as evidenced by the VIX slipping below the key 14 level, reflecting investor complacency or confidence in a stable near-term market environment. The combination of benign inflation data, strong equity performance, and subdued bond market reaction underscores a continued appetite for risk assets, with momentum seemingly intact across multiple asset classes.