US market today: Wall street holds near record highs; Warner Bros bidding war lifts stocks ahead of Fed decision
The S&P 500 was largely flat in early trade and sat about 0.3% below its all-time high set in October, while the Nasdaq Composite edged up 0.3%, AP reported.
Trading across the broader market remained subdued, with most stocks lower.The biggest action was centred on Warner Bros Discovery, which jumped 7.8% after Paramount took its bid to acquire the media group directly to shareholders.
Paramount said it had offered $30 in cash per share, pitching its proposal as a faster and cleaner alternative for investors.Paramount is seeking to dislodge Netflix’s offer of a cash-and-stock deal, which Warner Bros Discovery had agreed to last week.
The Netflix transaction faces potential regulatory scrutiny, with concerns over market concentration.
US President Donald Trump said on Sunday that a Netflix–Warner Bros deal “could be a problem.”Shares of Paramount Skydance rose 2.7%, while Netflix slipped 2.4%.Elsewhere, Confluent surged 28.7% after IBM said it would buy the data streaming company in an $11 billion deal aimed at strengthening its artificial intelligence offerings.
IBM shares gained 1.8% following the announcement.Carvana jumped 6.9% after learning it would join the S&P 500 index on December 22, a move that typically draws buying from funds that track the benchmark.
CRH climbed 5.3%, while Comfort Systems USA added 0.8% after both companies were also named new entrants to the index.They will replace LKQ, Solstice Advanced Materials and Mohawk Industries, which are set to move down to the S&P SmallCap 600 index after shrinking in size.Outside these individual movers, trading was relatively calm as investors kept their focus on the week ahead.Markets are widely expecting the Federal Reserve to cut interest rates for the third time this year when it announces its decision on Wednesday.
Lower borrowing costs tend to support economic activity and asset prices, but they also risk stoking inflation.The bigger question for investors is the Fed’s guidance on the future path of rates.
Inflation remains above the central bank’s 2% target, and policymakers appear divided over whether persistent inflation or a cooling labour market poses the greater risk to the economy.In the bond market, US Treasury yields were steady, with the 10-year yield holding at 4.14%.Overseas, stock markets were mixed.
Hong Kong’s index fell 1.2%, while South Korea’s benchmark jumped 1.3%, posting one of the stronger gains globally.
