U.S. Stocks Mixed as Tech Slips, Investors Brace for Key Jobs Report

U.S. stocks showed a mixed performance on Thursday as the technology sector slipped and investors looked ahead to a highly anticipated monthly jobs report.

The tech-heavy Nasdaq Composite (^IXIC) declined by 0.5%, weighed down by a drop in Nvidia (NVDA) shares. The S&P 500 (^GSPC) finished nearly flat, while the Dow Jones Industrial Average (^DJI) gained 0.5%.

Market participants are awaiting Friday morning’s employment report for December, seeking clues about the Federal Reserve’s potential path for interest rates when policymakers meet later this month. The report from the U.S. Bureau of Labor Statistics will be a key data point influencing whether the central bank holds rates steady or considers a cut.

Data released Thursday from Challenger, Gray & Christmas showed that corporate layoffs in December fell to their lowest level in 17 months. Planned job cuts totaled 35,553, the lowest since July 2024. However, the 1.2 million layoffs announced throughout 2025 marked a 58% increase from 2024. The public sector saw the most cuts with over 308,000, while technology led the private sector with more than 154,000 layoffs. The report cited the Department of Governmental Efficiency (DOGE), tariffs, and artificial intelligence as reasons for the 2025 cuts.

Separately, initial claims for unemployment benefits for the week ending January 3 rose to 208,000 from 199,000 the prior week, coming in below economists’ expectations of 212,000.

Consumer and Worker Outlook

Despite some signs of a resilient labor market, Americans are growing more pessimistic about their job prospects. According to the New York Federal Reserve’s Survey of Consumer Expectations, the perceived probability of finding a new job within three months after a layoff fell 4.2 percentage points to 43.1% in December, the lowest reading since the survey began in June 2013.

The survey also pointed to rising inflation concerns, with one-year-ahead inflation expectations ticking up to 3.4% in December. The perceived likelihood of losing one’s job also increased to 15.2% from 13.8% in November.

Corporate and Political Developments

In corporate news, Walmart (WMT) announced it has appointed Shishir Mehrotra, CEO of the AI tool Superhuman, to its board of directors. “Shishir has a rare combination of deep technical expertise and product leadership,” said board chairman Greg Penner. The move comes as retailers navigate supply chain complexities from tariffs and technological shifts driven by competitors like Amazon and TikTok.

The media sector was active as Paramount Skydance (PSKY) confirmed its $30.00 per share all-cash offer for Warner Bros. Discovery (WBD). Paramount CEO David Ellison called the bid “superior” to an existing deal with Netflix. Warner Bros. Discovery had urged its shareholders to reject the offer, citing “significant costs, risks, and uncertainties.”

Meanwhile, Goldman Sachs (GS) reached an agreement to transfer its Apple Card business to JPMorgan Chase (JPM). “This transaction effectively completes the narrowing of our focus in consumer,” said Goldman CEO David Solomon. The deal moves the investment bank closer to winding down its consumer banking ambitions.

On the political front, former President Trump has reportedly focused on $50 per barrel as a target for U.S. oil prices. That price point presents a challenge for the domestic oil industry, as breakeven prices in the prolific Permian Basin range from $62 to $64, according to the Dallas Federal Reserve. One executive told the Dallas Fed in a recent survey, “If economic conditions worsen, drilling and completion activities will cease in 2026.”

Tech in Focus at CES

The technology sector was abuzz with news from the CES 2026 conference in Las Vegas, where artificial intelligence, advanced semiconductors, and robotics dominated.

Nvidia CEO Jensen Huang announced the Vera Rubin platform, featuring six new chips. Rival AMD, led by CEO Lisa Su, detailed its upcoming Helios rack-scale system and next-generation MI500 chips. Both companies, along with Intel and Qualcomm, also showcased their efforts in robotics and physical AI systems.

Nvidia shares were also in the spotlight after Bloomberg reported China is set to approve some imports of its H200 chips. Stifel analyst Ruben Roy noted that H200 sales in China would “contribute materially to NVDA’s earnings.”

January Market Indicators

Despite a recent stall in the “Santa Claus rally,” investors are watching other seasonal indicators. The S&P 500 is on track for a gain of over 1% in the first five trading days of the year. According to the Stock Trader’s Almanac, a positive start of this kind has historically led to a full-year gain about 83% of the time since 1950.

The year’s top performers so far include Sandisk (SNDK), up 32%; Moderna (MRNA), up 19%; LAM Research (LRCX), up 16%; Micron (MU), up 13%; and L3Harris (LHX), up 11%.