Good morning investors! Holiday spending brings joy but also financial stress for many—watch your budget to avoid starting the new year in debt.
Today we cover:
What to expect this week
2026 going to be a great year?
Searching for mortgages
📊 Economy and News
What to Expect This Week
Traders face a quiet, holiday-shortened week with markets closing early on Christmas Eve and fully closed on Christmas Day.
Here’s everything else to keep an eye on:
Monday, December 22
No major economic releases or events scheduled.
Tuesday, December 23
Initial third-quarter GDP estimate (delayed from October).
Additional data: October durable-goods orders; November industrial production and capacity utilization; December consumer confidence survey.
Wednesday, December 24
Weekly initial jobless claims (for week ended Dec. 20).
Early market close: Stocks at 1 p.m. EST; bonds at 2 p.m. EST.
Thursday, December 25
Markets closed for Christmas holiday.
Friday, December 26
No major economic releases or events scheduled.
Global hits:
Peru central bank raises 2026 growth forecast to 3.0%.
Russian central bank cuts key rate to 16% as Putin speaks.
Powerball jackpot climbs to $1.6 billion after no big winner in Saturday’s drawing.
Euro zone consumer confidence falls to -14.6 in December. Elsewhere, Michigan Consumer Sentiment Index edges up, falls short of forecast.
Good to know: U.S. Congress is advancing bipartisan housing reforms to tackle affordability crises, with strong prospects for passage in 2026.
The House Financial Services Committee overwhelmingly passed the Housing for the 21st Century Act (50-1 vote), while the Senate included its ROAD to Housing Act in the National Defense Authorization Act.
Analysts highlight growing support for measures boosting manufactured and multifamily housing, including streamlined federal programs, zoning guidance, HUD grants for pre-approved designs, higher multifamily loan limits, faster permitting, and expanded modular housing adoption.
Despite acknowledged limitations, overlapping House and Senate provisions signal likely negotiations and progress early next year.
Reminder: U.S. existing home sales rose modestly by 0.5% in November to a seasonally adjusted annual rate of 4.13 million units, slightly below economists' forecast of 4.15 million, amid easing mortgage rates that dropped to around 6.2%. However, inventory fell 5.9% to a eight-month low of 1.43 million units, limiting buyer choices and supporting prices, with the median home price up 1.2% year-over-year to $409,200. Economists note persistent headwinds from a weak labor market, high affordability challenges, and economic uncertainty, suggesting no meaningful housing turnaround soon.
👨 Sponsored by Delve
Delve’s AI Copilot handles SOC 2, HIPAA, and ISO end to end while reading your policies, completing evidence, and automating the tasks that usually slow teams down during Q4.
Instead of spending weeks gathering documents or chasing approvals, Copilot keeps every requirement moving in the background so your audit stays on track even during the holiday rush.
The outcomes tell the story.
Lovable achieved SOC 2 in just 20 hours.
Wisprflow closed Mercury and Superhuman in one month.
11x unlocked 1.2 million dollars in ARR through accelerated compliance.
This season, skip the stress and let Copilot deliver the cleanest audit you have ever had.
Use code MBXMAS for 1,500 dollars off until December 31st.
📈 Stocks
S&P 500 6,834.51 (+0.88%)
DJIA 48,134.89 (+0.38%)
NASDAQ 23,307.62 (+1.31%)
BRENT CRUDE 60.47 (+1.09%)
* Prices as of Dec 21st, 12:20 AM UTC
S&P 500 Eyes Strong 2026: Three Key Questions for Investors
The S&P 500 is poised for further gains in 2026, with Wall Street analysts unanimously forecasting at least 10% upside. Historical odds favor bulls—positive returns in 75% of years since 1958—and current conditions support optimism: a 38-month bull market, expected double-digit earnings growth, and likely Fed rate cuts.
Recent sideways trading has cooled excesses, narrowing the Nasdaq 100's valuation premium and rebalancing the market.
However, elevated expectations bring risks. Analyst "Buy" ratings hit highs last seen before the 2022 bear market, and the index's strong three-year run historically leads to below-average forward gains.
Three Key Questions for 2026
Should investors want a "broader" market? While breadth has improved (e.g., banks and cyclicals leading), the rally remains driven by mega-cap tech and AI leaders. A sharp underperformance by the Magnificent 7 could destabilize the index, as bull markets rarely shift leadership mid-cycle.
Can capital markets meet soaring demand? Massive private funding rounds (e.g., potential $100B+ for OpenAI, $1T+ IPO for SpaceX) and rising corporate capex may strain supply. Goldman Sachs predicts S&P 500 share count growth in 2026 as buybacks weaken—a potential headwind for returns.
Will crypto's weakness impact stocks? Bitcoin is down 30% from its peak, yet the Nasdaq nears new highs. This decoupling may signal fading speculative energy from retail traders, who have fueled risk appetite. Institutional adoption might be making crypto less of a high-beta tech proxy.
Overall, the path of least resistance remains higher, but investors should brace for volatility amid high expectations and shifting dynamics.
Interesting: Lucid Motors has introduced its first sport utility SUV called The Gravity, a three-row SUV starting at around $79,900. The rollout has been beset by challenges like supply chain shortages. The company plans to release a second SUV with a lower price tag around $50,000 hoping to change its image with these new vehicles.
Surprising: Italy’s Telecom Italia wins $1.2 billion court payout, eyes savings share conversion.
Elon Musk gets his $139 billion pay package from 2018 restored after a long battle with a Delaware judge.
💵 Personal Finance
Why Homebuyers Should Shop Around for Mortgages
Most homebuyers fail to compare mortgage offers, missing out on significant savings.
Zillow reports that 69% of homebuyers submit only one mortgage application.
Freddie Mac research shows rates can differ by up to a full percentage point across lenders.
Even a 0.5% lower rate on a $360,000 30-year loan can save over $41,000 in interest.
With 30-year mortgage rates hovering above 6.2% and home prices up 45.8% since early 2020, experts urge buyers to shop multiple lenders.
Differences in rates and closing costs can add up dramatically over 30 years. Buyers should also compare fees like title insurance and points.
To minimize credit score impact, submit all applications within a 14- to 45-day window—scoring models typically count them as one inquiry.
💰 Be a Better Investor
"Before you speak, listen. Before you write, think. Before you spend, earn. Before you invest, investigate. Before you criticize, wait. Before you pray, forgive. Before you quit, try. Before you retire, save. Before you die, give.”
What did you think of today's newsletter?
👩🏽⚖️ Legal Stuff
FOR EDUCATIONAL AND INFORMATION PURPOSES ONLY; NOT ADVICE. Morning Download products and services are offered for educational and informational purposes only and should NOT be construed as a securities-related offer or solicitation or be relied upon as personalized financial advice. We are not financial advisors and cannot give personalized advice. There is a risk of loss in all trading, and you may lose some or all of your original investment. Results presented are not typical. This message may contain paid advertisements, or affiliate links. This content is for educational purposes only.
Please review the full risk disclaimer: MorningDownload.com/terms-of-use