S&P 500 Futures Rise as Markets Attempt Rebound Ahead of Holiday-Shortened Week
S&P 500 futures rise as U.S. markets attempt a rebound ahead of Thanksgiving. Nasdaq and Dow futures also climb amid AI stock reassessments and potential December Fed rate cuts.
Traders work on the floor of the New York Stock Exchange on November 21, 2025, as markets attempt a rebound ahead of the Thanksgiving holiday.
U.S. stock futures opened higher on Monday as investors sought to extend last week’s rebound ahead of the Thanksgiving holiday, following a rough stretch for AI-driven tech stocks.
- S&P 500 futures rose 0.7%
- Nasdaq-100 futures climbed 1%
- Dow Jones Industrial Average futures gained 171 points, or 0.4%
The markets are set for a shortened trading week, with U.S. exchanges closed on Thanksgiving Day and early closure at 1 p.m. ET on Friday.
Market Context
Friday’s rally was sparked by comments from New York Fed President John Williams, who left the door open for a potential interest rate cut in December. Despite the rebound, major indexes have struggled in November, dragged down by a reassessment of sky-high valuations among AI-linked companies that fueled much of 2025’s gains.
- S&P 500: Down 3.5% month-to-date after a 2% decline last week
- Nasdaq Composite: Down 6.1% for November following a 2.7% drop last week
- Dow Jones: Off 2.8% month-to-date after losing 1.9% last week
“Investors hate noise. They crave certainty, and the market simply cannot deliver that right now,” said Mark Malek, CIO at Siebert Financial, highlighting the cautious sentiment amid ongoing volatility.
Key Economic Data This Week
Markets will watch closely for October U.S. retail sales and the October Producer Price Index on Tuesday, both of which could influence expectations ahead of the Fed’s final policy meeting of 2025.
Stock Highlights
- Carvana (CVNA): Analyst upgrade to Outperform from Neutral and raised the 12-month price target to $400 from $380, representing a potential gain of 29%. Having advanced 52% YTD, the stock held undivided attention this May as it swooned 13% perturbed about parallel value erosion and credit markets' vague fears.
- Baidu (BIDU): JPMorgan is upgrading Baidu to Overweight and raising target price in the US from $110 to $188, titled towards growth catalysts of AI and cloud services.
- Novo Nordisk (NVO): The company lost close to 11%, following a flunk seven percent hit on Flot messaging. The just-passed Phase III Alzheimer’s trial for semaglutide didn't hit the Primary Endpoint.
Investor Sentiment
Wall Street remains cautious despite last session’s gains. “U.S. equities are trying to extend their Friday rally, but investor confidence remains frazzled by month-to-date volatility,” said Adam Crisafulli, founder of Vital Knowledge. Concerns center on AI trade developments and upcoming Fed decisions, with investors hesitant to chase equities until stability returns.
