Market Insights: December Market Recap and Ratings Update
A Month to Remember
As November came to a close, the stock market continued its upward trend, with the Dow, S&P 500, and NASDAQ reaching all-time highs. The month saw significant gains, with the Dow leading the charge with a 7.5% increase. Much of this strength can be attributed to the resolution of uncertainty following the presidential election.
While December may not match the explosive growth of November, historical data indicates that it is traditionally a strong month for the stock market. The Dow has seen average gains of over 1% in December over the past 100 years, setting the stage for a positive end to the year.
What to Expect in December
As we head into December, it’s essential to consider the factors that may influence market performance:
- Tax Selling: December often sees investors selling off losing positions to offset gains, leading to a period of consolidation.
- Retail Sales and Labor Market: The performance of major retailers during Black Friday and Cyber Monday, as well as key labor market indicators, will provide insights into consumer behavior and economic health.
- Federal Reserve: With inflation nearing the Fed’s target, attention will be on employment data and the potential for a rate cut at the upcoming FOMC meeting.
Updated Stock Ratings
This week, I’ve revised my Stock Grader recommendations for 85 big blue-chip stocks based on institutional buying pressure and financial health indicators. Here are some key changes:
- 8 stocks upgraded to Strong Buy
- 11 stocks upgraded to Buy
- 9 stocks upgraded to Hold
- 2 stocks upgraded to Sell
- 28 stocks downgraded to Hold
- 13 stocks downgraded to Sell
- 1 stock downgraded to Strong Sell
Top Buy Recommendations
Here are the first 10 stocks rated as Buys:
- AZN – AstraZeneca PLC Sponsored ADR
- BN – Brookfield Corporation
- CI – Cigna Group
- EXC – Exelon Corporation
- FER – Ferrovial SE
- HRL – Hormel Foods Corporation
- JD – JD.com, Inc. Sponsored ADR Class A
- KSPI – Kaspi.kz Joint Stock Company Sponsored ADR RegS
- SLF – Sun Life Financial Inc.
- SRPT – Sarepta Therapeutics, Inc.
Ending the Year Strong
As we approach the end of the year, it’s crucial to ensure your investment portfolio is positioned for success. Consider high-growth stocks with strong fundamentals, like those recommended in the Growth Investor service, which have shown significant annual sales and earnings growth.
To learn more about how Growth Investor can help you navigate the market in 2025 and beyond, click here.
Sincerely,
Louis Navellier
Editor, Market 360—
In this comprehensive market update, we’ve highlighted the recent market performance, key factors influencing December’s market outlook, and updated stock ratings. By staying informed and making strategic investment decisions, investors can position themselves for a successful end to the year and beyond.