Markets up slightly as shorter week ends for holiday
NEW YORK — Stocks closed slightly higher on Christmas Eve, as investors went into the holiday weekend not bothered by President Donald Trump’s threat not to sign a major economic stimulus package approved by Congress this week.
Trading was extremely light in the abbreviated session ahead of the Christmas holiday. Trading on the New York Stock Exchange and the Nasdaq ended at noon Central time instead of the usual 3 p.m. Volume was at less than half of a typical trading day.
The S&P 500 index closed up 13.05 points, or 0.4 percent, to 3703.06. Despite the gains, the index ended the week down 0.2 percent. Relatively safe investments such as utilities and real estate were among the biggest gainers, while energy stocks fell.
The Dow Jones Industrial Average rose 70.04 points, or 0.2 percent, to 30,199.87. The Nasdaq composite rose 33.62 points, or 0.3 percent, to 12,804.73.
Investors remain focused on Washington, where Democrats in Congress are expected to try to make alterations to the $900 billion COVID stimulus bill that Trump has threatened to veto. Trump has asked for higher individual payments to Americans, something Democrats support but which is unlikely to get a vote in the Republican-held Senate.
The scuffle over pandemic relief is set to run up against a federal funding deadline next week as Democrats side with Trump in his demand for $2,000 payments to most Americans. The hope has been that Trump will back away from his veto threat and the stimulus package might tide the economy over until widespread vaccinations can help the world begin to return to normal.
Meanwhile the U.S. economy continues to deteriorate under widespread coronavirus outbreaks, infections and hospitalizations. The Labor Department said fewer U.S. workers filed for unemployment benefits last week. The number is still incredibly high when compared with before the pandemic, but it was better than economists were expecting.
Other reports were grimmer. Consumers pulled back on their spending by more last month than economists expected, mainly because of a drop in income.
The dollar weakened, and Treasury yields were little changed.
Most financial markets will be closed today for Christmas Day.