4:15pm: Mixed finish on Wall Street
Growing risks, including geopolitical tensions, saw the Dow Jones and S&P 500 fall back from record highs on Wednesday afternoon.
The Dow Jones was down 1% at 48,996 points, the S&P 500 fell 0.3% at 6,920 points, while the Nasdaq edged 0.2% higher at 23,584 points.
3:39pm: Proactive news headlines
- M2i Global Inc (OTC:MTWO), along with Volato Group which is in the process of merging with the company, announced a strategic collaboration with Titanium X aimed at advancing the development of critical mineral assets and strengthening domestic supply chains in the United States.
- Reconnaissance Energy Africa Ltd (TSX-V:RECO, OTCQX:RECAF) has upsized its earlier private placement annoucement of C$20M to C$32M to fund a broad 2026 capital program spanning Namibia, Angola and offshore Gabon.
- First Phosphate Corp. (CSE:PHOS, OTCQX:FRSPF) has earned an ‘Outperform’ rating from Noble Capital Markets analysts as the company progresses its Begin-Lamarche phosphate project from exploration toward feasibility, supported by a combination of funding initiatives and operational milestones.
- NextSource Materials Inc. (TSX:NEXT, OTCQB:NSRCF) announced that the first shipment of equipment for its proposed Battery Anode Facility has arrived in Abu Dhabi, marking a milestone in the company’s plans to expand downstream processing capabilities.
- BioHarvest Sciences Inc (NASDAQ:BHST) said its first full year as a Nasdaq-listed company was marked by revenue growth, expanding operations, and balance sheet improvements, according to a shareholder letter released on Wednesday by CEO Ilan Sobel.
- HIVE Digital Technologies (TSX-V:HIVE, NASDAQ:HIVE, BVC:HIVECO) told investors it produced 306 Bitcoin in December, up 197% from the 103 Bitcoin produced in the previous year, despite a 40% year-over-year increase in Bitcoin mining difficulty during the month.
- Alvopetro Energy Ltd (TSX-V:ALV, OTC:ALVOF) has reported its December 2025 sales volumes of 2,826 barrels of oil equivalent per day (boepd), based on field estimates.
- Bit Digital Inc (NASDAQ:BTBT) strengthened its Ethereum (ETH) treasury and staking operations in December 2025 as it continued to sharpen its focus on digital asset growth.
- Digi Power X Inc (NASDAQ:DGXX, TSX-V:DGX) has taken another step toward building out large-scale artificial intelligence and high-performance computing infrastructure after signing a non-binding letter of intent with Omnis Pleasants LLC, owner of the 1.3-gigawatt Pleasants Power Station in West Virginia.
- Immunic Inc (NASDAQ:IMUX) said on Wednesday it is entering a pivotal phase for its lead multiple sclerosis drug as the biotech company prepares for key clinical readouts that could shape its longer-term growth strategy.
2:42pm: Market movers
- GameStop Corp (NYSE:GME) shares surged almost 6% on Wednesday after the videogame retailer announced a $35 billion compensation package for CEO Ryan Cohen, tied entirely to a dramatic turnaround of the struggling company.
- Strategy Incorporated (NASDAQ:MSTR) shares rose more than 4% following news that American finance firm MSCI will, for now, maintain the company’s inclusion in its major equity indexes.
- Shares in Directa Plus PLC (AIM:DCTA, OTC:DTPKF) fell 23% to 10.44p after the AIM-listed graphene specialist flagged a sharp drop in cash and warned that fresh funding will be needed to support growth in 2026.
1:10pm: Services PMI hits 14-month high; job openings slip
The US services sector grew at its fastest pace in over a year in December, with the ISM Services PMI rising to 54.4, well above expectations of 52.2. While the headline suggests strong expansion, Wells Fargo notes the strength may be overstated, pointing to modest underlying demand, hiring, and slightly easing price pressures.
Meanwhile, US job openings fell to 7.146 million in November, below the 7.648 million forecast. Wells Fargo highlighted that "both demand for workers and turnover remain muted," with the hiring rate slipping to a cycle low of 3.2% and the quit rate near the lowest levels of the past decade. The data indicate a labor market treading water, where employers may increasingly rely on layoffs rather than natural attrition to reduce headcount.
12:20pm: AI dampens 2025 hiring
Comerica’s Bill Adams said AI slowed job growth in 2025, particularly in the information sector, where employment fell by 47,000.
“When companies prioritize investments in this new technology over traditional expansion plans that would have required more workers, that reduces labor demand,” he explained.
Despite this, Adams expects hiring to improve in 2026, supported by recent Fed rate cuts and the prospect of additional monetary easing.
11:25am: Warner Bros says no to Paramount (again)
In corporate news: Warner Bros Discovery Inc (NASDAQ:WBD, XETRA:J5A) has rejected Paramount Skydance’s amended bid to acquire the media conglomerate, reiterating that the offer does not represent a superior alternative to its existing agreement with Netflix.
The revised Paramount proposal, valued at approximately $108.4 billion in all-cash terms, included increased financing guarantees, including a personal $40 billion backstop from Oracle co-founder Larry Ellison, as well as higher break-up and termination fees.
Despite these changes, WBD said the offer remains “inadequate,” citing the substantial debt the deal would impose and the associated risks if the transaction fails to close.
Shares of WBD were flat at $28 on the news. Shares of Paramount Skydance were also little changed at $12.
10:35am: Private hiring shows signs of stabilizing
Private payrolls in December rose by 41,000, according to ADP, marking a modest improvement after November’s declines, though overall hiring in 2025 remained below expectations.
LPL Financial’s chief economist Jeffrey Roach said the data suggest the private sector may have “bottomed out” and expects monthly private payroll growth to stabilize around 50,000 for most of 2026.
Roach noted that ADP numbers can be volatile month-to-month and tend to undercount Bureau of Labor Statistics figures. He added that upcoming BLS data will provide a clearer picture, particularly in tracking shifts from individuals moving out of the labor force into unemployment. Sectors likely to see gains include leisure and hospitality, health care, and financial services.
“With 2026 expected to bring more job growth and less labor supply growth, the unemployment rate should edge lower by year-end,” Roach said, highlighting the broader trend toward tighter labor conditions.
9:50am: Nasdaq, S&P hold gains
US markets kicked off Wednesday on a cautiously optimistic note, with the major indexes more or less holding their ground at the open.
The Dow Jones dipped slightly, off about 0.1%, while the S&P 500 crept up roughly 0.1% and the Nasdaq climbed around 0.2%. The Russell 2000 was essentially flat in early action.
Investors are parsing this week’s economic data flow, starting with ADP’s December private payrolls report, which showed 41,000 jobs added – a figure below expectations but still a sign of modest gains after recent weakness.
The data sets the stage for bigger reports later this week, including job openings and factory orders as well as the ISM services index due this morning.
Crude oil has edged lower, too, after President Trump said Venezuela would send up to 50 million barrels of oil to the US, a move that’s weighed on energy prices in early trade.
On the stock front, Strategy (formerly MSTR) is trending higher this morning after MSCI decided not to exclude digital‑asset treasury companies from its indexes, giving crypto‑linked names a bit of a lift.
All told, it’s a steady start to the day as traders balance soft employment news, economic releases on the way, and company‑specific catalysts.
Ahead of the bell
US stock futures edged lower on Wednesday, signalling a pause after Wall Street’s push to fresh highs as investors digested a surprise supply move in oil and turned their attention to key labour market data.
Contracts tied to the Nasdaq 100 fell modestly, while S&P 500 futures slipped from a record close.
Futures on the Dow Jones Industrial Average were broadly steady after the index crossed 49,000 for the first time.
The immediate catalyst was energy. Crude prices extended their early-year slide after Donald Trump said Venezuela would release up to 50 million barrels of oil for sale to the US.
The prospect of extra supply pushed US crude below $57 a barrel, with Brent drifting towards $60, reinforcing pressure on energy-linked stocks.
Beyond oil, markets are bracing for a busy run of economic releases.
Wednesday brings the ADP report on private-sector hiring and November’s JOLTS data on job openings and quits, both seen as important signposts ahead of Friday’s official payrolls report.
Traders will be looking for confirmation that the labour market is cooling just enough to open the door to policy shifts later in the year.