US Stocks Close Lower on December 29, 2025, as Tech Shares Retreat Ahead of New Year
On Monday, December 29, 2025—the penultimate trading day of the year—Wall Street’s major indexes ended in the red, primarily due to profit-taking in heavyweight technology and AI-related stocks following recent record highs.
Closing Values and Changes:
- S&P 500: Closed at 6,905.74, down ~0.35% (or ~24 points).
- Nasdaq Composite: Closed at 23,474.35, down 0.50%.
- Dow Jones Industrial Average: Closed at 48,461.93, down 249.04 points (0.51%).
Key Details:
- The pullback was led by declines in mega cap tech stocks, including Nvidia (down ~1.2%), Palantir Technologies (down ~2.4%), and Tesla (down over 3% in some reports).
- This came after the S&P 500 hit record levels the previous week, with investors trimming positions amid thin holiday trading volumes (13.08 billion shares traded, below the 20-day average of 16.2 billion).
- Despite the dip, all three indexes remain on track for strong double-digit gains in 2025 (S&P 500 up ~17-18%, Nasdaq leading with over 20%, Dow ~14-15%), marking a robust year driven by AI enthusiasm and economic resilience.
- Hopes for a “Santa Claus rally” (typical gains in the last five trading days of the year plus the first two of January) were tempered, though the bull market since October 2022 remains intact.
- Other notes: Energy stocks rose with oil prices, while precious metals like silver and gold pulled back from records.
The market was closed on January 1, 2026, for New Year’s Day, with trading resuming later in the week. This session reflected typical year-end positioning rather than fundamental shifts.
