The week kicked off with a rally in Financial stocks, which led the S&P 500 index to its best day in two weeks. Also on Monday, the ISM Nonmanufacturing index showed services bounced back in November, rising above consensus and above its six-month average. The rally continued on Tuesday, as economic reports showed productivity growth remained unrevised for the third quarter, the U.S. Trade Deficit widened in October and Factory Orders increased as well. On Wednesday, the major indices logged their biggest one-day rally since the election, which led to new closing records for the Dow Jones Industrial Average and the S&P. The markets were a little shakier on Thursday, shifting between gains and losses for most of the trading session. Investors’ eyes were likely on the European Central Bank, as the bank extended its stimulus program at a reduced volume. Indices closed at session peak levels on Friday, with the Dow, S&P 500 and Nasdaq all hitting record highs. Consumer confidence was up in a preliminary December reading from the University of Michigan. The Consumer Sentiment Index ticked up to 98 from 93.8 in November, well beyond an expected reading of 94.1.
