- Crypto stocks slid as Bitcoin’s price decline rippled through the sector. MicroStrategy dropped 3%, Coinbase lost 2%, and Riot Platforms pulled back by more than 2%.
- Honda climbed 4%, fueled by merger talks with Nissan and a rally in Asian markets after Japan proposed a $735 billion budget. Honda’s U.S.-listed shares are up 14% this week.
- Starbucks edged down 0.4% as strikes spread to over 300 stores across 45 states.
- American Airlines slipped 0.6% after a system glitch grounded flights earlier in the week.
Is the Labor Market Softening as Jobless Claims Rise?
Fresh economic data showed initial jobless claims for the week ending December 21 totaled 219,000 – slightly below the forecasted 225,000. However, continuing claims increased to 1.91 million, reaching the highest level since November 2021.
The steady rise in continuing claims indicates more workers are struggling to find new jobs, suggesting a gradual softening of the labor market. Long-term unemployment has also been climbing. In November, 1.66 million people were unemployed for 27 weeks or longer – the highest since early 2021.
Is the Nasdaq Poised to Outperform the Dow in December?
Month to date, the Nasdaq Composite has jumped 4.2%, boosted by strong performances from Tesla, Apple, and Alphabet. Meanwhile, the S&P 500 is up just 0.1%. The Dow Jones, however, lags with a 3.6% decline, putting it on pace for its worst month since April.
