Bull market hits an early December soft patch

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Mike Santoli breaks down the S&P 500's sluggishness lately, coming as tech stocks like Apple find some late-year support.

If the stock market's indecisive churn in recent weeks is nothing more than some prolonged post-Thanksgiving digestion, it's about time for the tape to prove it to ward off concerns that it's something more serious. While the S & P 500 's trend remains rather unassailable, merely pausing a hair below record highs and holding above the 6000 level for two weeks, the broader market so far in December has softened up and narrowed again.

The bond market's expectation of another quarter-point rate cut next week was solidified by the CPI and PPI inflation readings, which were a bit warm but in ways that aren't seen filtering into the Fed's benchmark PCE inflation gauge. But after that, the path grows foggy, a pause could be more likely, and the ultimate destination of rates might not be too far below where we are. This shouldn't on its face be a worrying scenario.

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