Traders work on the New York Stock Exchange on December 9, 2024.
Michael Nagle | Bloomberg | Getty Images
This report is from today’s CNBC Daily Open, our international markets newsletter. CNBC Daily Open informs investors about everything they need to know, no matter where they are. Like what you see? You can subscribe here.
What you need to know today
Mega car merger
Nissan and Honda have started formal merger discussionsthe two companies announced on Monday. The negotiations will end in June 2025. The Japanese Stock Exchange Honda shares were last up 13.4% on Tuesday and are on track for their best day since October 2008after the company announced plans to buy back 24% of its issued shares by December 23 next year.
Taiwan is at the top of Asian markets
Since Dec. 23, Taiwan’s Taiex has gained 28.85%, making it the most successful stock market in Asia and the Pacific in 2024. Taiex’s focus on technology and technology-related stocks helped boost its performance. A Taiwanese semiconductor company up 82.12% in 2024, and Foxconn — which trades as Hon Hai Precision Industry — advanced 77.51%.
A positive start to the holidays
the US market a rose on Monday on the back of a strong showing by major tech stocks. The New York Stock Exchange closes early on Tuesday, Christmas Eve. Asia-Pacific stocks trading was mixed on Tuesday. of Japan Nikkei 225 it slipped roughly 0.4% even as Honda shares rallied. Meanwhile, in Hong Kong Hang Seng index rose more than 1%.
Great Britain’s GDP is not OK
The The UK economy failed to expand in the three months ending in September, according to the revised figure of the Office for State Statistics, published on Monday. Previous estimates pegged gross domestic product in the third quarter at 0.1%. Earlier this month, ONS data showed that the UK economy unexpectedly contracted decreased by 0.1% in October.
[PRO] Buffett’s biggest war chest
Warren Buffett Berkshire Hathaway it is currently it holds $325 billion in cash — the largest amount he collected in absolute terms. Cash now makes up about 30% of Berkshire’s total assets, the largest share in 34 years, according to Oppenheimer data. Buffett has sold large amounts of Apple and Bank of America shares this year. Why does the 94-year-old legendary investor hold so much money? Analysts weigh in.
Conclusion
US markets started the trading week in a festive mood. The S&P 500 gained 0.73% and Dow Jones Industrial Averagerecovering from earlier losses, it rose by 0.16%. The Nasdaq Composite it added 0.98% thanks to the strong performance of major technology companies such as Nvidia, Tesla and Meta platform.
However, bitcoin proxy shares MicroStrategy fell 8.8% on its first day in the Nasdaq-100 index, after the cryptocurrency’s price fell below $93,000 on Monday.
Even so, MicroStrategy is still among the best-performing U.S. technology companies valued at $5 billion or more, according to FactSet data. Its shares have jumped 426% so far this year, largely thanks to the company’s shares bitcoin stockwhich she started collecting in 2020.
With bitcoin surging after Donald Trump’s election victory, MicroStrategy’s bitcoin holdings are now worth about $42 billion. That’s the basis for boosting the company’s market capitalization to $82 billion from roughly $1.1 billion since it started buying bitcoin in bulk.
Investors looking to enjoy MicroStrategy’s explosive growth should note that the company’s stock price is currently trading based on bitcoin prices.
The flip side of that is that if bitcoin prices fall for any reason — as volatile as the cryptocurrency may be — MicroStrategy’s stock could also stumble.
Trading is likely to be light this week. US markets will close early on Tuesday and take a break on Wednesday for Christmas.
But light trading does not mean small movements in the markets. “With the market’s primary uptrends still intact, we are not discounting the potential for Santa to come to Broad & Wall this year,” Craig Johnson, chief market technician at Piper Sandler, said in a note.
As investors celebrate the festivities — and the S&P’s 25.25% year-to-date gain — they may find an extra present under the pine tree.
— CNBC’s Yun Li, MacKenzie Sigalos and Ari Levy contributed to this report.
The CNBC Daily Open will be on hiatus and will return next year. Happy holidays!
