US stocks edged higher on Tuesday as investors awaited the Federal Reserve’s final policy meeting of the year and digested long-delayed labor market data that showed job openings rising in October. The Dow rose roughly 0.3%, the S&P 500 added about 0.2%, and the Nasdaq turned positive after an early dip, helping markets stabilize following Monday’s narrow decline.
The market’s overall tone rose after the Bureau of Labor Statistics reported a slight rise in openings to 7.67 million. While the lift offered a counterpoint to recent signs of cooling in employment, the same report also showed layoffs climbing — underscoring the uneven nature of a labor market working through tighter financial conditions. Still, traders remain overwhelmingly convinced the Fed will deliver its third straight quarter-point rate cut on Wednesday.
Market Movers:
- Alexander & Baldwin (ALEX) +38% — Shares surged after the company agreed to be acquired for $21.20 per share in cash by a joint venture led by MW Group, Blackstone Real Estate, and DivcoWest. The take-private deal, valuing the company at roughly $2.3 billion including debt, represents a 40% premium to its prior close.
- Teleflex (TFX) +9% — Stock rose as the company announced the sale of several non-core business units for a combined $2.03 billion. The divestitures will help refocus the portfolio while generating proceeds earmarked for buybacks and debt reduction.
- Ares Management (ARES) +7% — Shares climbed after S&P Dow Jones Indices said the company will join the S&P 500, replacing Kellanova. Inclusion is expected to boost passive fund demand for the stock.
- CVS Health (CVS) +3% — Shares advanced after the company raised its 2025 revenue and earnings outlook and detailed growth plans through 2028. Management also introduced a new consumer engagement platform aimed at improving integration between Aetna, CVS retail, and third-party services.
- Almonty Industries (ALM) -13% — Shares dropped after the company priced an upsized equity offering of 18 million shares at $6.25, raising $112.5 million. Proceeds will support development at multiple mining projects, but the dilution weighed on investor sentiment.
- GeoPark (GPRK) -9% — Stock slid after Parex Resources ended acquisition talks, saying valuation gaps were too wide to bridge. Parex indicated it will not raise its previous $9 per-share all-cash offer.
- Graphic Packaging (GPK) -9% — Shares dipped after the company lowered its adjusted EBITDA outlook and announced cost-reduction efforts, including staffing cuts. While long-term free cash flow targets remain intact, operational disruptions will weigh on Q4 results.
- Toll Brothers (TOL) -3% — Stock fell after fiscal Q4 results missed expectations, driven largely by delays in the sale of its Apartment Living stake. While the company reaffirmed strong margins, management signaled softer demand moving into early 2026.
Fed Meeting Begins as Markets Look Beyond Wednesday
With odds hovering near 90% for a December rate cut, trader attention has shifted to the tone of the Fed’s forward guidance. Officials remain divided over whether inflation has cooled sufficiently to justify a multi-cut cycle in 2026. Recent comments from White House economic adviser Kevin Hassett — considered the frontrunner to replace Jerome Powell — stressed caution about forecasting aggressive easing, suggesting a potential pivot in the central bank’s leadership next year.
Benchmark Treasury yields climbed into the meeting, with the 10-year rate hitting its highest level in over two months. The move reflects both uncertainty about the Fed’s long-term stance and anxiety over firmer economic data, including stronger household spending and resilient service-sector demand.
Labor Market Data Sends Mixed Signals
The JOLTS report delivered a surprise rise in openings to a five-month high but also revealed an uptick in layoffs and a continued decline in the quit rate. Hiring slowed modestly, reinforcing the view that the labor market is cooling without collapsing — an outcome the Fed has been targeting as it attempts to balance inflation pressures with the risk of overtightening. Economists noted that the reopening of delayed government data has added volatility to weekly interpretations, making Wednesday’s policy statement and updated forecasts particularly important for broader market direction.
Corporate and Sector Highlights
Energy markets remained volatile, with natural gas futures extending recent losses after weather forecasts shifted milder, reversing last week’s spike above $5. Meanwhile, silver surged past $60 per ounce to a record high, extending its year-to-date gain above 100% as traders bet on easing rates and a softer dollar.
In corporate developments, competition for Warner Bros. Discovery continued to intensify, with Netflix and Paramount pursuing different strategic approaches ahead of potential regulatory scrutiny. Elsewhere, Home Depot expressed cautious optimism for 2026 during its investor day, citing the possibility of a housing-market rebound boosting big-ticket renovation demand.
Looking Ahead
All eyes now turn to the Fed’s rate decision and press conference on Wednesday, where the central bank’s messaging will shape expectations for the first half of 2026. Investors will be closely watching whether policymakers frame this cut as insurance against slowing conditions — or the start of a more durable easing cycle. Earnings from Oracle, Broadcom, Lululemon, and Costco later this week will also offer valuable insight into the strength of enterprise tech spending and consumer resilience heading into the new year.