Stocks got off to a slow start Wednesday but rose steadily throughout the session to close higher for a second consecutive day.
Lifting Wall Street's collective mood was a report from the Conference Board that showed consumer confidence – a gauge of how much Americans are willing to spend on goods and services – rose to 115.9 in December from November's reading at 111.9.
Meanwhile, the National Association of Realtors (NAR) said existing U.S. home sales jumped 1.9% month-over-month in November to a seasonally adjusted annual rate of 6.46 million units. Although the reading came in below the 2.5% increase expected by economists, it still puts existing home sales on track for their hottest year since 2006, according to NAR.
From just $107.88 $24.99 for Kiplinger Personal Finance
Become a smarter, better informed investor. Subscribe from just $107.88 $24.99, plus get up to 4 Special Issues
Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Adding to the bullish buzz was news the Food and Drug Administration issued emergency use authorization for Paxlovid, Pfizer's (PFE, +1.0%) pill to treat COVID-19, for high-risk patients 12 and over. Reports from South Africa – where the omicron variant was first detected – showing a 20% reduction in case counts from last week's peak also aided sentiment.
At the close, the Dow Jones Industrial Average was up 0.7% at 35,753, the S&P 500 Index was 1.0% higher at 4,696 and the Nasdaq Composite had gained 1.2% to 15,521.
Other news in the stock market today:
- The small-cap Russell 2000 rose 0.9% to 2,221.
- U.S. crude oil futures gained 2.3% to settle at $72.76 per barrel.
- Gold futures edged up 0.8% to finish at $1,802.20 an ounce.
- Bitcoin added 0.8% to $48,982.25. (Bitcoin trades 24 hours a day; prices reported here are as of 4 p.m.)
- Tesla (TSLA) stock jumped 7.5% after CEO Elon Musk said in a podcast interview with satirical website Babylon Bee that he sold "enough stock" to meet his plan to unload 10% of his ownership stake. In early November, Musk initiated a Twitter poll asking if he should sell 10% of his total holdings in Tesla. However, the sale of the shares may have already been in the cards, as the CEO had planned on exercising options granted to him as an insider, according to a mid-September Securities and Exchange Commissions (SEC) filing. From its Nov. 4 peak above $1,243 through yesterday's close at $899.94, TSLA stock shed nearly 28%.
- Olive Garden parent Darden Restaurants (DRI, +1.6%) was upgraded to Buy from Hold by Stifel analyst Chris O'Cull. "Shares declined following a strong earnings report last Friday, which we believe was driven by the concurrent announcement of CEO Gene Lee's retirement at the end of May," O'Cull wrote in a note. While he said he wasn't surprised by the reaction, he feels Lee's successor, Rick Cardenas, will continue to guide the company on a path of strategic growth. The analyst also acknowledged that "variant-related sales disruptions are a near-term risk," but believes the shares are trading at "an attractive entry point for a high-quality company."
Sure, There Will Be Risks in 2022, But Also Opportunities
If there's one thing the last two years have taught us, it's to be prepared.
"As we close out 2021, the world looks both different from a year ago and very much the same," says Brad McMillan, chief investment officer for independent broker-dealer Commonwealth Financial Network.
In addition to another wave of COVID-19 underway, rising inflation, supply-chain issues and a challenged global economic recovery create plenty of uncertainty for investors. "Indeed, these risks are still very real," adds McMillan. "But so are the opportunities – and 2022 is likely to see even further improvement from 2021."
The best way for investors to take advantage of these opportunities is to arm themselves with the best investments. You can find plenty of potential in our best stocks for 2022, as well as in our Kiplinger's Investing Outlook.
But stocks aren't the only way to prepare your portfolio for the new year, and exchange-traded funds (ETFs) are investing's Swiss Army knife. Whether you're looking to build a portfolio core, add defensive positions or even protect against market drops, our list of the 22 best ETFs for 2022 likely has something for you. Take a look.
-
Stocks Keep Climbing as Fed Meeting Nears: Stock Market TodayA stale inflation report and improving consumer sentiment did little to shift expectations for a rate cut next week.
-
Your End of Year Insurance Coverage Review ChecklistStop paying for insurance you don't need and close coverage gaps you didn't know about with this year-end insurance review.
-
Crypto Trends to Watch in 2026Cryptocurrency is still less than 20 years old, but it remains a fast-moving (and also maturing) market. Here are the crypto trends to watch for in 2026.
-
Stocks Keep Climbing as Fed Meeting Nears: Stock Market Today
A stale inflation report and improving consumer sentiment did little to shift expectations for a rate cut next week.
-
Small Caps Hit a New High on Rate-Cut Hope: Stock Market TodayOdds for a December rate cut remain high after the latest batch of jobs data, which helped the Russell 2000 outperform today.
-
UNH Sparks a 408-Point Surge for the Dow: Stock Market TodayThe best available data right now confirm both a slowing employment market and a December rate cut, a tension reflected at the equity index level.
-
Stocks Bounce Back With Tech-Led Gains: Stock Market TodayEarnings and guidance from tech stocks and an old-school industrial lifted all three main U.S. equity indexes back into positive territory.
-
Dow Slides 427 Points to Open December: Stock Market TodayThe final month of 2025 begins on a negative note after stocks ended November with a startling rally.
-
If You'd Put $1,000 Into Coca-Cola Stock 20 Years Ago, Here's What You'd Have TodayEven with its reliable dividend growth and generous stock buybacks, Coca-Cola has underperformed the broad market in the long term.
-
If You Put $1,000 into Qualcomm Stock 20 Years Ago, Here's What You Would Have TodayQualcomm stock has been a big disappointment for truly long-term investors.
-
Stocks Extend Win Streak on Black Friday: Stock Market TodayThe main indexes notched wins in Friday's shortened session, with the blue-chip Dow Jones Industrial Average closing higher on the month.
