Stock Market Update Wednesday November 26, 2025
- Nov 26, 2025
- 3 min read
Stock Market Update Wednesday November 26, 2025 Tone Shift Ahead of Thanksgiving What a difference a few days can make. Heading into Thanksgiving, equities are entering the holiday stretch with a markedly improved tone. After last week’s turbulence, volatility has been crushed, and a sustained multi-session rally off Friday’s lows has sparked a touch of risk-on sentiment—even a hint of euphoria creeping back in. That said, a brief wave of late-session profit-taking kept the market from closing at the intraday highs.
Score Board:
S&P 500 (SPX): +0.7%
Nasdaq 100 (QQQ): +0.9%
Russell 2000 (IWM): +0.8%
Away From Stocks: Treasuries bear-flattened, with the 2-year yield easing slightly to 3.49%, giving back a portion of its recent advance. WTI crude hovered near $58 per barrel, while gold extended its rally, trading around $4,163 per ounce. Bitcoin continued its grind higher toward the $90,000 level, and the VIX slid further to the 17-handle, underscoring the compression in implied volatility across the board.
Equities are attempting to regain footing after a gradual 6% pullback from the October highs. Investor sentiment reached a short-term capitulation point last week, helping to establish an interim low, and since then, the major indices have staged a three-day rebound on improving breadth and moderate volume.
One of the major headlines yesterday was that Kevin Hassett has emerged as the leading candidate for the next Federal Reserve Chair. The market interpreted this development as incrementally positive for interest rates, given Hassett’s historically pro-growth and data-dependent stance. Consequently, interest-rate-sensitive equities—notably within Utilities, Real Estate, and Consumer Discretionary—led the advance. It’s worth noting that Hassett is one of five finalists identified for the position, and this decision will likely influence sentiment ahead of the FOMC meeting on December 9–10.
While consensus expectations still call for rate cuts in 2025 and 2026, Fed Funds futures have yet to meaningfully reprice for a more dovish policy trajectory, suggesting investors remain cautious about the pace and magnitude of easing. On the data front, the latest Producer Price Index (PPI) print came in softer than expected, reinforcing a dovish narrative and signaling potential disinflationary momentum into year-end.
Overall, the combination of improving technical conditions, stabilizing macro data, and potential Fed leadership clarity supports a constructive near-term outlook, though further confirmation from this week’s labor and inflation readings will be key to validating the sustainability of this rally.
Bottom Line:
Today November 26, 2025 our proprietary algorithm issued a buy alert for the Russell 2000 ETF IWM. We could potentially have buy alerts for all five indexs buy next week. Both QQQ and SPY have successfully broken above the minor downtrend line established in late October, signaling a potential shift in near-term market momentum. Market breadth has also improved notably in recent sessions, supported by renewed strength across Consumer Discretionary and Industrial sectors. As of today, nearly half of the S&P 500 sectors are trading more than 1% higher, underscoring a broad-based risk-on tone.
This week’s advance appears constructive for the broader market’s technical backdrop, suggesting that equities may be in the early stages of a recovery phase toward retesting prior highs. While some post-Thanksgiving consolidation is likely after a four-day rally, both momentum and participation metrics have firmed enough to justify a more constructive outlook on SPY and QQQ heading into December.
That said, there is still repair work needed within the Technology sector, which recently delivered the weakest monthly performance among all 11 GICS sectors. A stabilization in Tech will likely be key to sustaining this advance and validating a broader rotation toward cyclical leadership.
