Archive · 5 Dec 2025
Wall Street Mixed Ahead of Inflation Data
Wall Street had a mixed day of trading on Thursday.
The Dow Jones ended slightly down, while the S&P 500 and Nasdaq made small gains.
This happened because everyone is waiting for important inflation data that will come out on Friday evening.
The data is crucial for the US Federal Reserve's decision on interest rates next week.
There are also mixed signals about jobs.
Some companies are cutting jobs, but the number of people applying for unemployment benefits is lower than expected.
Despite this, the chances of the Fed cutting rates next week are still high.
The US Dollar and gold prices are also being watched closely.
Wall Street indices traded in narrow ranges on Thursday, with the Dow Jones ending below flat line and the S&P 500 and Nasdaq making small gains.
Conflicting labor market signals emerged, with job cuts reaching 1.1 million through November, but initial jobless claims falling to 1.91 lakh last week.
Key inflation data (PCE) is expected to be released on Friday evening, with estimates suggesting a 0.2% increase from last month and 2.8% from last year.
Core PCE, which excludes food and energy prices, is expected to rise 0.2% from last month and 2.9% year-on-year, marking the 55th straight month above the Fed's 2% target.
Despite mixed labor signals, the odds of a Fed rate cut next week stand at 87% as per the CME FedWatch.
- Who
- Wall Street indices, US Federal Reserve, US companies, economists
- What
- Mixed trading session, conflicting labor market signals, upcoming inflation data, Fed rate decision
- When
- Thursday's trading session, Friday evening for inflation report, Fed rate decision next week
- Where
- Wall Street, US
- Why
- Caution ahead of key inflation report, conflicting labor market signals, Fed rate decision anticipation
Market Optimism
Market Caution
Rate Cut Expectations
Market Optimism
High odds of a Fed rate cut next week (87%) due to mixed labor signals and inflation data.
Market Caution
Caution due to conflicting labor market signals and potential inflation data impact.
Inflation Data Impact
Market Optimism
Expectations of a 0.2% increase in PCE inflation, which may support rate cut expectations.
Market Caution
Potential for higher-than-expected inflation could delay rate cuts and impact market sentiment.
- Dow Jones
- Traded in a 350-point range, ended below flat line
- S&P 500
- Gains, traded in a 40-point range
- Nasdaq
- Gains, traded in a 160-point range
- Job Cuts
- 1.1 million through November, up 54% from last year
- Initial Jobless Claims
- 1.91 lakh (last week), below estimates of 2.2 lakh
- PCE Inflation Print
- Expected at 0.2% from last month, 2.8% from last year
- Core PCE
- Expected at 0.2% from last month, 2.9% year-on-year
- Fed Rate Cut Odds
- 87% as per CME FedWatch
- US Dollar Index
- Back above 99
- Gold Prices
- Held above $4,200 an ounce
- Silver Prices
- Minor dip towards $57 an ounce
Sources
Wall Street On The Edge: Indices end volatile session mixed ahead of key inflation data
Stock recommendations for 5 December from MarketSmith India
Corporates usually wait for RBI rate decision before bond offers. Not this time
Stock market today: Nifty 50 trade setup, RBI repo rate decision, IPO buzz to weak rupee - eight stocks to buy
Stocks to buy: Raja Venkatraman's top midcap picks for 5 December
RBI Policy: Five signals to watch as the MPC weighs a tricky call
Asian stocks snap three-day gain, Japan leads drop
Silver steady after profit-taking brings end to eight-day rally
Gold Rate Today (December 5, 2025): Yellow Metal Drops Rs 10, Silver Tumbles Rs 100 - Check Prices Across Delhi, Mumbai, Chennai & Other Major Cities
Gold Prices Climb To ₹1,30,829 Per 10 Grams, Silver By ₹1,82,426 Per Kilogram, Investors Awaiting Key US Inflation Data
US Stock Market Today: Wall Street slightly gains ahead of PCE inflation
