Major US Indices Close Higher as Markets Price in Fed Rate Cut This Month

The major averages closed broadly higher as markets are now pricing in a high probability of a Fed rate cut this month. The current optimism follows a choppy start to the week, which saw bond yields spike and crypto slump, but those pressures have eased for now. Concerns about AI valuations and investment are also reflected in the markets, however, as Microsoft was slipping after The Information said the company was lowering software sales quotas linked to AI, though Microsoft denied the report.Looking to commodities, gold prices edged higher as the "safe haven" asset looks to hit the $4,300 threshold one again. Oil prices were also higher following yesterday's API crude numbers and this morning's DOE data.Get caught up quickly on the top news and calls moving stocks with these five Top Five lists.1. STOCK NEWS:Microsofthas cut targets for salespeople on certain AI products,, though the company told CNBC it has not lowered sales targetsAnthropic has picked a law firm to start work on its IPO,Marvellreportedand agreed to acquire Celestial AI in a roughly $3.25B dealMacy'sprovided areport for Q3American Eaglereportedearnings and revenue2. WALL STREET CALLS:AreteUberwith autonomous vehicles risk seen as overdoneVertexto Overweight at Morgan StanleyWayfairto Hold at JefferiesJPMorganWendy'spending more defined strategyOraclewith an Overweight at Wells Fargo3. AROUND THE WEB:Teslaregistrations in Europe in November fell 36.3% excluding Norway,Appledesign executive Alan Dye is leaving the company for Meta,Eli Lillywill delay resuming U.K. investments until it observes changes in drug approvals, despite a recent U.S.-U.K. agreement to raise NHS drug spending and ease approval for costly medicines,Saudi Arabia's government investment fund, the Public Investment Fund, PIF, is set to take nearly full ownership of Electronic Arts,Netflix'sproposed acquisition of Warner Bros. Discovery'sstudios and streaming unit would likely lower the costs for consumers by bundling Netflix and HBO Max,4. MOVERS:Capricor Therapeuticsincreases after announcing Phase 3 HOPE-3 studyPharvarisgains in New York after announcing its RAPIDe-3 studySpirit AeroSystemshigher after the FTC said Boeingwill have to divestto resolve antitrust concernsAlexandria Real Estatelower afterPure Storageand GitLabfall after5. EARNINGS/GUIDANCE:Sprinklr, with EPS and revenue beating consensusEnbridgeprovidedand FY26Thor Industries, with CEO Bob Martin commenting, "The quarter finished stronger than we expected"Dollar Treeand raised its guidance for FY25PayPalINDEXES:The Dow rose 408.44, or 0.86%, to 47,882.90, the Nasdaq gained 40.42, or 0.17%, to 23,454.09, and the S&P 500 advanced 20.35, or 0.30%, to 6,849.72.