By Shan Ahmed Khan
Publication Date: 2025-12-26 13:11:00
Wall Street is closing out 2025 at record levels, even as a louder debate rages over whether artificial intelligence is providing a lasting foundation for the next decade of growth or whether it is exaggerating expectations that tend to lead to painful revaluations.
On Friday, December 26, U.S. stocks returned from the Christmas break in weak trading conditions, with investors watching two things at once: whether the year-end “Santa Claus rally” has enough momentum to push benchmarks to new milestones, and whether the AI trading that has driven much of the market’s gains can continue to deliver without buckling under the weight of rising infrastructure costs and valuation concentration. (1)
December 26: Market Pulses: Records, interest rate cuts and a 7,000 milestone in sight
The S&P 500 is ending the year within striking distance of a psychological level that would have sounded implausible just a few years ago. Reuters reported that after a record close on Wednesday (before…)
