US stock Market Summary: November 26

Key Takeaways

* The S&P 500 rose 0.6% as investors assessed the impact of President-elect Donald Trump's proposed tariffs on Mexico, Canada, and China.

* General Motors shares fell sharply, reflecting concerns over its substantial operations in Canada and Mexico.

U.S. equities advanced on Tuesday, with major indexes responding to geopolitical and economic developments. President-elect Donald Trump's plan to impose new tariffs on key trade partners, coupled with Federal Reserve meeting minutes suggesting potential rate cuts, fueled market discussions.

Market Movements

* S&P 500: Gained 0.6%, driven by strong performances in the energy and consumer staples sectors.

* Dow Jones Industrial Average: Recovered from intraday losses to close 0.3% higher.

* Nasdaq Composite: Advanced 0.6%, buoyed by strength in technology stocks.

S&P 500 Performance: Gains and Losses

Top Performers

* NRG Energy (NRG): Surged 10.1% after Jefferies upgraded the stock to "buy" and raised its price target. Analysts cited improved cross-selling opportunities and an optimistic outlook for earnings growth.

* Constellation Energy (CEG): Jumped 7.2% following the company’s request for expedited regulatory reviews to enable co-location of power plants and data centers. This development could unlock significant growth opportunities for the largest nuclear power operator in the U.S.

* J.M. Smucker (SJM): Rose 5.7% after reporting strong quarterly earnings and raising its full-year guidance. The food maker benefited from robust demand for frozen foods and higher coffee prices, though it flagged potential challenges for its Hostess brand sales.

Decliners

* Super Micro Computer (SMCI): Dropped 10.4%, reversing some recent gains. Despite progress in resolving accounting compliance issues, the company remains under Department of Justice investigation, casting a shadow over its AI-driven growth prospects.

* General Motors (GM): Plunged 9.0% as concerns mounted over Trump’s proposed 25% tariffs on Canadian and Mexican goods, potentially disrupting the automaker’s extensive manufacturing operations in those regions.

* Amgen (AMGN): Fell 4.8% after Phase II clinical trial results for its weight-loss treatment MariTide raised concerns. While patients experienced significant weight loss, outcomes only met the lower end of expectations compared to competitors.

Broader Developments

* Federal Reserve Insights: Minutes from the Federal Reserve's latest meeting indicated policymakers are considering additional rate cuts but emphasized caution amid persistent inflation concerns.

* Weight-Loss Drug Policy: The Biden administration proposed adding coverage for weight-loss medications under Medicare and Medicaid starting in 2026. Shares of Eli Lilly (LLY), a key player in the obesity drug market, climbed 4.6% in response.

Tuesday’s trading showcased the complex interplay between policy decisions, earnings reports, and sector-specific developments, with tariff concerns and regulatory shifts driving notable stock moves.