CNBC Daily Open: Investors are filled with the festive spirit – CNBC

This report is from today's international market newsletter CNBC Daily Open. The CNBC Daily Open provides investors with everything they need to know, no matter where they are. Is it what you see? You can subscribe here.

S&P and NASDAQ hit new highs
The US market is I mixed it on Monday. of S&P500 and Nasdaq Composite It rose to a new high, but Dow Jones Industrial Average Soaked. Asia-Pacific stocks rose on Tuesday. Japanese Nikkei Stock Average The stock rose about 2.1%, supported by chip-related stocks such as . Tokyo Electron and laser techignored new U.S. export restrictions.

President Trump promises to stop US Steel acquisition
President-elect Donald Trump has vowed to block the acquisition of US Steel by a Japanese company. Nippon Steel,on monday post on his social platform Truth Social. The two companies reached a $14.9 billion deal in December. The Committee on Foreign Investment is reviewing the agreement to ensure it does not pose a national security risk.

$56 billion package for Musk rejected
tesla CEO Elon Musk was unable to restore his $56 billion salary package in 2018. A Delaware judge upheld an earlier ruling that the compensation plan was wrongly granted. Tesla shareholders had voted to “approve” the package in June. But the justices wrote in their opinion that “even if a shareholder vote could have a ratification effect, it cannot do so here.”

[PRO] Goldman's new conviction list
goldman sachs maintains a “belief list” containing stocks that are expected to outperform the S&P. The Wall Street bank just updated its list of global stocks, including three that show a potential for gains of more than 40%.

Investors remain buoyed by positive sentiment, pushing stocks to new records, but some analysts are concerned that the sentiment's footing is fragile.

of S&P500 Add 0.24%, Nasdaq Compositeelectrocuted by Tesla's 3.5% increase; super microcomputer It soared 29% and gained 0.97%. Both indexes closed at all-time highs. of Dow Jones Industrial Average Although it fell by 0.29%, it briefly exceeded the 45,000 level during the day.

“With the holiday season in full swing, the mood seems upbeat, at least among investors.” UBS I wrote in a memo on Monday. In fact, one survey found that 56.4% of consumers expect stock prices to rise over the next 12 months. investigation By Conference Board. This is the highest level on record.

There's no reason to feel gloomy this holiday season, but analysts are seeing signs that optimism may be taking root in Wonderland.

Stock prices may have risen incredibly in November, but that was probably investors' “price rally.”[ing] “This is a positive sign from the new pro-business administration,” Jay Hatfield, founder and CEO of InfraCap, told CNBC.

Investors now “need to know the details of the policy, not just the tweets,” Hatfield added, suggesting the rally may be pausing for now.

Investment banker Oppenheimer also said the stock remains expensive. “benchmark [are] “The forward P/E ratio is higher than the average over the past five years,” Chief Investment Strategist John Stoltzfus said on Monday.

UBS believes investor enthusiasm is “increasing concerns about market froth”.

Bubbles imply that things are settling down, which isn't necessarily a bad thing in the long run.

But Oppenheimer believes the bull market is “driven by fundamentals,” with stocks likely to rise further next year despite high valuations. Similarly, Savita Subramanian, head of U.S. equities and strategy at Bank of America, sees “good reasons to stick with stocks over bonds over the long term.”

After all, the foamy milk layer makes the cappuccino even more delicious and does not detract from the taste of the coffee underneath.

—CNBC's Lisa Kailai Han, Alex Harring and Pia Singh contributed to this report.