TheDrop Market Analysis, 11/25/25
- Alexangel Ventura
- Nov 25, 2025
- 2 min read
Stocks reached for higher valuations as investor optimism regarding a December rate cut surge, fueled by statements from top Federal Reserve officials.
The S&P 500 attempted to make a recovery from its weeks-long decline in early November, today rising by a small but still meaningful 0.91%. The Dow Jones Industrial Average, after yesterday lagging behind the other two of the big three indices, rose 1.43%, leading today's gains amongst the pack. And the tech-heavy Nasdaq composite rose 0.67%, finishing strong after having previously made a significant recovery just yesterday. Even the smaller business-heavy Russell 2000 index, not to such prestige as the other three but still a very popular option for investors, rose 2.14%. The VIX volatility index fell once again by just about 10%, expressing the linear trend experienced by stocks throughout the day as no major breaking news shook markets one way or another.
European stocks had a similar shoot upward as they reacted much quicker to U.S. news than yesterday. The British blue-chip FTSE 100 index rose 0.78%, the French CAC 40 rose 0.83%, and the German DAX P rose 0.97%. In Asia, indices like the Nikkei rose significantly as trade negotiations between the U.S. and China progress, as the first goods begin to be exchanged between the two, like U.S. soybeans to China (as part of the November 1st trade deal).
Commodities traded largely flatlined, with gold falling marginally and silver rising marginally. Crypto likewise traded flat. Meanwhile, the USD fell in value by roughly a cent (per dollar) during market hours.
Stocks continued their rally from yesterday as investors better anticipate a 25 basis point rate cut in December, especially after reassuring statements from top Fed officials like Jerome Powell earlier this month, and very recently Fed gov. Christopher Waller.
Most of the Magnificent Seven rose in value, with Meta leading the way with its 3.8% rise in share price. However, Nvidia stock actually fell in value as Meta poured billions into Google artificial intelligence-powered chips, which have challenged Nvidia's current dominance over the AI-chip market.
