Daily Market Report – December 30, 2025

The US stock markets are closing the year at a high valuation level: The Shiller price-to-earnings ratio, which relates stock prices to the inflation-adjusted average earnings of the last ten years, currently stands at 39.4 in the US. The Shiller P/E ratio is not a tool for short-term market timing; however, its message over long periods is remarkably consistent: Those who buy stocks at very high valuations must expect lower real returns in the long run compared to others.

The focus this evening is on the minutes of the Federal Open Market Committee (FOMC), from which market participants hope to gain insights into the future direction of monetary policy. In Europe, stocks continued their upward movement: The EURO STOXX 600 is trading near its record level, primarily driven by bank, commodity, and energy stocks.

Commodity markets remain volatile. Gold and silver continue to attract attention, not least because investors seek protection against the risk that a looser US monetary policy, advocated by Donald Trump, could reignite inflation in 2026. Copper prices have also risen sharply; market participants often use the term “Dr. Copper,” reflecting the metal's long-standing reputation as a barometer for robust industrial demand and solid economic growth.

Among the largest top 100 stocks, price movements today were muted as trading is thin at year-end and many investors have already departed for the holidays — with most able to look back on significant gains in the financial markets in 2025.