The market continues to be supported by the possibility that the US Government could reopen as early as this weekend…
The US stock market ended Wednesday’s session (November 12) in a mixed state of indices, with the Dow Jones hitting a new record, while the Nasdaq continued to decline. Crude oil prices fell $2.50/barrel after the latest forecast of the Organization of the Petroleum Exporting Countries (OPEC) on the correlation of global oil supply and demand in 2026.
At the close, the Dow Jones rose 326.86 points, equivalent to an increase of 0.68%, to 48,254.82 points, marking the first time it closed above 38,000 points. During the session, the blue-chip index of 30 member stocks also set a new intraday record.
The S&P 500 index was almost flat, closing up 0.06% at 6,850.92 points. The Nasdaq index fell 0.26% to close at 23,406.46 points.
The market continued to be supported by the possibility that the US government could reopen as early as this weekend.
The US House of Representatives is expected to vote on Wednesday evening Washington time to approve the budget plan previously approved by the Senate. Once this temporary budget plan completes the approval procedures, the US federal government agencies will resume operations, and the economic statistics reports that have been postponed in the past will be published.
The market expects upcoming official economic data to show that the US economy, especially the labor market, continues to weaken, thereby strengthening the possibility of the Federal Reserve (Fed) cutting interest rates at its meetings in December 2025 and January 2026.
The Dow Jones Industrial Average has posted two consecutive record highs, while the Nasdaq has fallen for two consecutive sessions. The Dow’s outperformance was the result of many investors selling technology stocks, especially those related to artificial intelligence (AI), because of concerns that their valuations were too high, and switching to blue-chip stocks or stocks with “softer” valuations.
A series of major financial and banking stocks that are members of the Dow Jones increased sharply this session. Shares of JPMorgan Chase, Goldman Sachs and American Express all set new records.
In the energy market, Brent crude oil futures in London fell $2.45/barrel, or 3.76%, to close at $62.71/barrel. WTI crude oil futures in New York fell $2.55/barrel, or 4.18%, to close at $58.49/barrel.
Oil prices fell after OPEC said in its monthly report that global oil supplies in 2026 would match demand, thanks to increased production by the OPEC+ alliance of OPEC and its allies including Russia. The forecast was a shift in OPEC’s view, which had previously said the world would be short of oil in 2026.
“OPEC’s balanced market outlook has put downward pressure on oil prices,” senior analyst Phil Flynn of Price Futures Group told Reuters.
Developments in the price of Brent crude oil futures in London over the past 6 months.
Until recently, OPEC had forecast that global oil supplies would not be enough to meet demand next year, while other major organizations such as the International Energy Agency (IEA) predicted a global oil surplus. “I think the capital markets believe OPEC’s forecast more than the IEA’s forecast,” so when OPEC adjusted its forecast like that, oil prices came under great downward pressure, Mr. Flynn emphasized.
OPEC’s latest forecast comes at a time when many crude cargoes are struggling to find buyers, according to John Kilduff, a fund manager at Again Capital. “There are a lot of cargoes looking for buyers and not finding buyers. There is a new price curve at the top end of the market,” he said.
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