Hi there,

US equities charged higher yesterday following a "Goldilocks" inflation report. The November Consumer Price Index (CPI) showed inflation cooling faster than expected (2.7% vs. 3.1% forecast), providing a massive tailwind for growth stocks and betting on a more aggressive Fed rate-cutting cycle for 2026.

📈 Major Indices

• S&P 500: Surged +1.2%, reclaiming the critical 6,800 level.
• Nasdaq Composite: Jumped +1.6%, leading the charge as growth stocks benefited from plummeting yields.
• Dow Jones Industrial Average: Rose +0.8%, closing at 48,499.27.

🏛️ Bonds, FX & Commodities

• US 10-Year Yield: Tumbled to 4.08%, its lowest level in two weeks, following the cool CPI data.
• US Dollar Index (DXY): Weakened significantly to 97.80, making greenback-priced assets more attractive.
• Gold: Gained +0.7% to trade near $4,330 per ounce, benefiting from the weaker dollar.
• WTI Crude Oil: Rebounded slightly to $56.20 per barrel on improved "soft landing" hopes.

📊 Specific Stock Performance

• GOOGL (Alphabet Inc.): Up +1.93% ($302.46). Strong AI momentum and "buy the dip" institutional flows following the inflation data.
• META (Meta Platforms): Up +2.32% ($664.45). Rebounded sharply as investors viewed it as a top-tier AI winner in a lower-rate environment.
• ALK (Alaska Air Group): Up +1.25% ($51.88). Gained alongside broader industrials as recession fears eased.
• PFE (Pfizer Inc.): Up +0.12% ($25.07). A relatively flat session as investors prioritized high-growth tech over defensive pharma.
• NVO (Novo Nordisk ADR): Down -0.31% ($47.62). Eased slightly despite news that the company filed for FDA approval of its new weight-loss drug CagriSema.
• FLTR.L (Flutter Entertainment): Down -0.67% (16,380.00p). Minor consolidation in the London session after recent tax-related volatility.
• STZ (Constellation Brands): Down -2.07% ($136.83). Underperformed significantly as investors rotated out of defensive consumer staples into high-growth sectors.

Next: The "main event" is happening this morning with the release of the PCE Inflation report (8:30 AM ET). This is the Fed's favorite metric and will dictate if we close the week at new all-time highs.

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