Marginal gains for US stocks in thinly traded session

Indices helped by a gain in technology shares

U.S. stocks rose in a thinly traded session on Tuesday, 26 December 2016 with the Nasdaq hitting its latest in a series of records as the market's recent upward bias continued, helped by a gain in technology shares. Overall, stocks saw a broad but slight advance, with all but two of the S&P 500's 11 primary sectors higher on the day. Retail stocks were in focus as investors looked to the first reads on the strength of the holiday shopping season.

The Dow Jones Industrial Average rose 0.1%, or 11.23 points, to end at 19,945.04, while the S&P 500 advanced 5.09 points, or 0.2%, to 2,268.88 and the Nasdaq Composite Index added 24.75 points to settle at 5,487.44, a gain of 0.5%.

Nine of eleven sectors finished the day in positive territory with technology underpinning things from the start. The top-weighted group rallied behind Apple and high-beta chipmakers. NVIDIA soared 6.9%, extending its 2016 gain to 256.0%.

The final trading week of the year is typically a quiet one, with light trading and few planned news eventssuch as central bank announcements or corporate earningsto dictate market direction. Many traders were out of the office following the Christmas holiday, for which the equity market was closed on Monday, while others are waiting for the new year to make big portfolio changes.

The bulk of today's action took place during the opening minutes as the key indices charged to session highs. The opening rally was followed by a slow intraday drip from those highs. The Dow surrendered the bulk of its early gain while the S&P 500 and Nasdaq spent the afternoon near the middle of their respective ranges.

In the latest economic data, the S&P Case-Shiller index of home prices climbed 0.6% in October and was up 5.1% in the past year, unchanged from the prior month. Consumer confidence in December jumped to 113.7 from a revised 109.4 in November, hitting its highest level since 2001.

Among Tuesday's biggest movers, retailers Amazon.com and Wal-Mart Stores were in focus amid postholiday Christmas shopping as the first.

Bullion prices ended higher at Comex on Tuesday, 26 December 2016. Gold prices closed at just over one-week highs on Tuesday, recovering after ending with a seventh straight weekly decline before the holiday weekend, their longest such losing streak in more than 12 years.

Gold futures for February delivery finished up $5.10, or 0.5%, at $1,138.70 an ounce in light volume. Gold firmed even as the dollar advanced modestly, defying their typically inverse relationship. March silver was up 24 cents, or 1.5%, at $16.00 an ounce. Last week, the metal slid 2.4%, for its second week of losses.

Crude futures continued their end-of-year rally on Tuesday, 26 December 2016 taking oil to its highest finish since July 2015 on expectations that global oil producers will honor a landmark agreement to reduce supply.

On the New York Mercantile Exchange, light, sweet crude futures for delivery in February advanced 88 cents, or 1.7%, to finish at $53.90 a barrel. February Brent crude on London's ICE Futures exchange rose 93 cents, or 1.7%, to close at $56.09 a barrel.

Treasuries slipped in morning action and spent the afternoon near their lows. The 10-yr yield rose two basis points to 2.56%.

Tomorrow, the weekly MBA Mortgage Index will be released at 7:00 ET while November Pending Home Sales will be reported at 10:00 ET.

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