The Wall Street Journal

Hopes for a ‘Santa Claus Rally’ Fade on Wall Street

Stocks typically rally over the holidays, but that hasn’t happened this season

A ‘Santa Claus rally’ can last into the first two days of the next trading year.
A ‘Santa Claus rally’ can last into the first two days of the next trading year. Photo: Charly Triballeau/AFP/Getty Images

The Grinch might be coming for Wall Street this holiday season.

After a gangbusters year for the S&P 500, traders have been watching for a rally heading into 2025 to put the cherry on the cake. Stocks tend to rise in what is known as a “Santa Claus rally” over the period that spans the last five trading days of the year through the first two of the next. 

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