The period from Christmas through the second trading day of January marks the traditional definition of the Santa Claus rally. Over the past century, the U.S. stock market during this period has risen more frequently than over other periods of comparable length.

The benchmark S&P 500 is down about 4% from its December record high as weak Tesla vehicle deliveries and iPhone discounts in China spooked investors to start 2025.

Tech stocks had mixed results on the first trading day of the year, with Apple and Tesla declining while Nvidia and Meta rose.

Major US equity benchmarks rose on Thursday, starting off the new year on a positive note after sharp gains in 2024. At the time of writing, the Dow Jones Industrial Average was up 0.8%, while the S&P 500 index also rose 0.

U.S. equity futures moved higher in early Tuesday trading, while Treasury yields held steady following the biggest decline in five weeks, as investors looked to tidy positions and portfolios into the final trading day of a outstanding year for domestic stocks.