Gold and Silver Prices Drop; Dow and Nasdaq End in the Red – Eurasia Business News

Stock Market Recap: December 29, 2025

By William Collins, Consultant in Stock Markets – Eurasia Business News

U.S. Stock Performances: A Day of Decline

U.S. stocks faced a downturn today, with the Dow Jones Industrial Average and Nasdaq Composite both experiencing notable losses. This shift in market dynamics comes as gold and silver futures dropped sharply from recent peaks. Analysts suggest that the decline in precious metals was influenced by a rise in margin requirements, prompting traders to secure profits after a strong year-end rally.

Index Performance Overview

On this day, the Dow Jones saw a decrease of approximately 0.5%, translating to a drop of around 160-250 points. This decline resets some of the remarkable gains recorded in the previous week, indicating a potential recalibration of investor sentiment.

Simultaneously, the tech-centric Nasdaq Composite registered a drop of about 0.5-0.6%, primarily driven by weakness in prominent technology firms. Notably, companies like Oracle, Nvidia, and Tesla faced sell-offs that contributed significantly to this index’s performance.

Nvidia’s Market Reaction

Nvidia, a bellwether in tech innovation, observed its shares decline roughly 1.8%, closing near $190.53 per share. The drop stemmed from investor unease regarding the company’s capital-allocation strategies following substantial investments in artificial intelligence and semiconductor sectors. This moment of caution highlights the market’s ongoing assessment of Nvidia’s growth trajectory amidst its strategic maneuvers.

Tesla’s Demand Concerns

Parallel to Nvidia’s struggles, Tesla shares fell about 2.2%, closing at approximately $475.19. Market sentiment around Tesla is presently marred by concerns regarding demand, magnified by the uncertainties tied to the expiration of U.S. electric vehicle tax credits. The interplay between government incentives and consumer demand continues to be a vital factor for electric vehicle manufacturers.

S&P 500 Performance Stands Strong

The S&P 500 experienced a modest decline, retracting approximately 0.3%. However, it’s crucial to note that despite this setback, the S&P remains significantly higher for the year, underscoring the strong performance of U.S. equities throughout 2025.

Gold and Silver Market Movements

The precious metals market saw substantial shifts, with silver futures plummeting between 7-9%. This marked one of the biggest declines in a single day since 2021, especially following silver’s recent climbs to record highs. Similarly, gold futures fell by about 2-3%, settling at $4,330.90 per troy ounce. The adjustments in margin requirements not only impacted trading strategies but also amplified the risk-off positioning among investors, reinforcing the selling pressure on these traditionally safe-haven assets.

Drivers of Market Movement

The recent retreat of mega-cap tech stocks, particularly those linked to artificial intelligence, has placed weight on the U.S. equity benchmarks, disrupting what had been a robust year-end “Santa Claus rally.” Despite today’s pullback, the broader indices—including the S&P 500, Dow, and Nasdaq—have shown impressive year-to-date gains: approximately 17%, 14%, and over 22%, respectively, highlighting an overall successful year for U.S. equities.

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