We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Wall Street closed mixed on Tuesday, pulled down by bank and healthcare stocks. While investors still expect a rate cut announcement from the Fed’s December meeting, they expect its tone to be hawkish. Treasury yields continued to rise, weighing on equities. Two of the three benchmark indexes finished in the red, while one finished in the green.
How Did the Benchmarks Perform?
The Dow Jones Industrial Average (DJI) slid 0.4%, or 179.03 points, to close at 47,560.29. Nineteen components of the 30-stock index ended in negative territory, while 11 ended in the positive.
The tech-heavy Nasdaq Composite gained 30.58 points, or 0.1%, to close at 23,576.49.
The S&P 500 fell 6 points, or 0.1%, to close at 6,840.51. Five of the 11 broad sectors of the benchmark index closed in the red. The Health Select Sector SPDR (XLV), the Industrials Select Sector SPDR (XLI) and the Real Estate Select Sector SPDR (XLRE) receded 1%, 0.7% and 0.6% respectively, while the Energy Select Sector SPDR (XLE) advanced 0.7%.
The fear gauge CBOE Volatility Index (VIX) increased 1.6% to 16.93. A total of 14.5 billion shares were traded on Tuesday, lower than the last 20-session average of 17.34 billion. Advancers outnumbered decliners by a 1.14-to-1 ratio on the NYSE and by a 1.24-to-1 ratio on the Nasdaq.
Wall Street Braces for a Hawkish Fed Despite Rate-Cut Hopes
On Tuesday, Dec. 9, market participants on Wall Street displayed mixed emotions as anticipation built around the Fed’s upcoming policy announcement. While markets broadly continued to price in the possibility of a rate cut at the December meeting, confidence in an immediate pivot remained fragile. Traders increasingly expected Chair Jerome Powell to strike a hawkish tone, emphasizing the need to stay vigilant against inflation even as key economic indicators show signs of cooling. This expectation kept volatility elevated across equities, with investors attempting to balance optimism over easing financial conditions against the risk of a more cautious Fed.
Throughout the session, Wall Street sentiment reflected this tension. Bond yields fluctuated as traders reassessed the likelihood of policy easing, and sectors sensitive to interest rates moved unevenly. The central concern was whether the Fed would signal confidence in inflation’s downward trajectory or maintain a defensive stance to ensure price stability. Despite hopes for relief, the market widely understood that any dovish shift would likely be gradual, keeping focus firmly on the tone and language of the December statement.Top of FormBottom of Form
JPMorgan Expense Warning Drags S&P 500 Bank Index and Financial Stocks Lower
The S&P 500 bank index (SPXBK), which had risen nearly 1% earlier in the session, reversed course to close 2% lower in response to comments from JPMorgan Chase & Co. (JPM - Free Report) executive Marianne Lake. Lake said the bank expects expenses to rise to about $105 billion in 2026 due to growth initiatives and volume-related costs. The outlook raised concerns about margin pressure at the nation’s largest bank, triggering a broader pullback across financial stocks. As JPMorgan often sets the tone for the industry, investors reacted swiftly, pushing bank shares lower and highlighting lingering worries about profitability amid an uncertain economic backdrop. JPM shares slid 4.7%.
Bond Yield Climb Continues to Stall Equity Rally Ahead of Fed Meeting
U.S. stocks continued to lose momentum on Tuesday as rising Treasury yields weighed on investor sentiment ahead of the Fed’s policy decision. The benchmark 10-year Treasury yield rose to 4.18%, marking its fourth consecutive day of gains. Investors remained wary, balancing hopes for rate relief with signs of renewed pressure in fixed-income markets.
No economic data was released on Tuesday.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Stock Market News for Dec 10, 2025
Wall Street closed mixed on Tuesday, pulled down by bank and healthcare stocks. While investors still expect a rate cut announcement from the Fed’s December meeting, they expect its tone to be hawkish. Treasury yields continued to rise, weighing on equities. Two of the three benchmark indexes finished in the red, while one finished in the green.
How Did the Benchmarks Perform?
The Dow Jones Industrial Average (DJI) slid 0.4%, or 179.03 points, to close at 47,560.29. Nineteen components of the 30-stock index ended in negative territory, while 11 ended in the positive.
The tech-heavy Nasdaq Composite gained 30.58 points, or 0.1%, to close at 23,576.49.
The S&P 500 fell 6 points, or 0.1%, to close at 6,840.51. Five of the 11 broad sectors of the benchmark index closed in the red. The Health Select Sector SPDR (XLV), the Industrials Select Sector SPDR (XLI) and the Real Estate Select Sector SPDR (XLRE) receded 1%, 0.7% and 0.6% respectively, while the Energy Select Sector SPDR (XLE) advanced 0.7%.
The fear gauge CBOE Volatility Index (VIX) increased 1.6% to 16.93. A total of 14.5 billion shares were traded on Tuesday, lower than the last 20-session average of 17.34 billion. Advancers outnumbered decliners by a 1.14-to-1 ratio on the NYSE and by a 1.24-to-1 ratio on the Nasdaq.
Wall Street Braces for a Hawkish Fed Despite Rate-Cut Hopes
On Tuesday, Dec. 9, market participants on Wall Street displayed mixed emotions as anticipation built around the Fed’s upcoming policy announcement. While markets broadly continued to price in the possibility of a rate cut at the December meeting, confidence in an immediate pivot remained fragile. Traders increasingly expected Chair Jerome Powell to strike a hawkish tone, emphasizing the need to stay vigilant against inflation even as key economic indicators show signs of cooling. This expectation kept volatility elevated across equities, with investors attempting to balance optimism over easing financial conditions against the risk of a more cautious Fed.
Throughout the session, Wall Street sentiment reflected this tension. Bond yields fluctuated as traders reassessed the likelihood of policy easing, and sectors sensitive to interest rates moved unevenly. The central concern was whether the Fed would signal confidence in inflation’s downward trajectory or maintain a defensive stance to ensure price stability. Despite hopes for relief, the market widely understood that any dovish shift would likely be gradual, keeping focus firmly on the tone and language of the December statement.Top of FormBottom of Form
JPMorgan Expense Warning Drags S&P 500 Bank Index and Financial Stocks Lower
The S&P 500 bank index (SPXBK), which had risen nearly 1% earlier in the session, reversed course to close 2% lower in response to comments from JPMorgan Chase & Co. (JPM - Free Report) executive Marianne Lake. Lake said the bank expects expenses to rise to about $105 billion in 2026 due to growth initiatives and volume-related costs. The outlook raised concerns about margin pressure at the nation’s largest bank, triggering a broader pullback across financial stocks. As JPMorgan often sets the tone for the industry, investors reacted swiftly, pushing bank shares lower and highlighting lingering worries about profitability amid an uncertain economic backdrop. JPM shares slid 4.7%.
Consequently, shares of Wells Fargo & Company (WFC - Free Report) and Berkshire Hathaway Inc. (BRK.B - Free Report) fell 1.3% and 1.2%, respectively. Both currently carry a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
Bond Yield Climb Continues to Stall Equity Rally Ahead of Fed Meeting
U.S. stocks continued to lose momentum on Tuesday as rising Treasury yields weighed on investor sentiment ahead of the Fed’s policy decision. The benchmark 10-year Treasury yield rose to 4.18%, marking its fourth consecutive day of gains. Investors remained wary, balancing hopes for rate relief with signs of renewed pressure in fixed-income markets.
No economic data was released on Tuesday.