Wall Street’s main indices edged higher Tuesday despite stronger-than-expected US growth figures dampening hopes for further interest rate cuts, while gold and silver struck fresh records.US economic growth in the third quarter came in at 4.3 percent on an annualised basis, easily topping expectations, as consumer and government spending rose.Equities have been buoyed in recent weeks by expectations the Federal Reserve will lower borrowing costs further in 2026, with data showing US unemployment rising and inflation easing. The strong growth figures could persuade the US Federal Reserve to hold off on further interest rate cuts in 2026.”The key takeaway from the report is that the US economy was certainly running on the warm side” in the third quarter, said Briefing.com analyst Patrick O’Hare.”That will stir some concerns about the Fed’s recent decision to cut rates in December and the risk of stoking increased inflation in pursuit of keeping the economy on a growth trajectory,” he added.Wall Street’s main indices moved lower at the start of trading in New York, but pushed higher during the morning session.Separate data showed US consumer confidence fell in December, with the Confidence Board noting the short-term expectations component indicates consumers fear a recession.eToro investment analyst Bret Kenwell noted the headline figure has now declined for five straight months, and the component showing the confidence of consumers in their present situation is at its lowest since February 2021.”Simply put, despite solid GDP figures and a stock market at record highs, consumers are feeling some anxiety,” he said.Before the US GDP data was released precious metals pushed higher on the back of expectations for more US rate cuts, which makes them more attractive to investors.Gold jumped to a high above $4,497 per ounce, while silver was just short of $70 an ounce, with the US blockade against Venezuela and the Ukraine conflict adding support.Copper, which is used in electric vehicle batteries and solar panels, hit a record price of $12,159.50 per tonne.”Silver and above all copper are benefitting from structural support from the energy transition, electrification the colossal needs for digital infrastructure and artificial intelligence,” said John Plassard, an analyst at Cite Gestion Private Bank.Europe’s main stock markets ended mixed.”European stock markets appear to have entered a period of consolidation as we head into the final trading days of 2025,” said Joshua Mahony, chief market analyst at Scope Markets.”With the Santa rally period traditionally taking place over the final five days of the year, investors will be hoping that the bulls are gathering momentum for a final push tomorrow onwards,” he added.Asian markets enjoyed a bright start, although some stuttered as the day wore on.Shanghai was higher, while Hong Kong dipped and Tokyo closed flat.On currency markets, the yen extended gains after Japan’s Finance Minister Satsuki Katayama flagged authorities’ powers to step in to support the unit, citing speculative moves in markets.The yen suffered heavy selling after Bank of Japan boss Kazuo Ueda held off signalling another rate hike anytime soon following last week’s increase.In company news, shares in Danish pharmaceutical giant Novo Nordisk jumped more than eight percent after the US approved its popular GLP-1 anti-obesity drug Wegovy to be administered in pill form for weight loss.- Key figures at around 1630 GMT – New York – Dow: UP 0.1 percent at 48,420.28New York – S&P 500: UP 0.2 percent at 6,894.70New York – Nasdaq Composite: UP 0.3 percent at 23,494.85London – FTSE 100: UP 0.2 at 9,889.22 (close)Paris – CAC 40: DOWN 0.2 percent at 8,103.85 (close)Frankfurt – DAX: UP 0.2 percent at 24,340.06 (close)Tokyo – Nikkei 225: FLAT at 50,412.87 (close)Hong Kong – Hang Seng Index: DOWN 0.1 percent at 25,774.14 (close)Shanghai – Composite: UP 0.1 percent at 3,919.98 (close)Dollar/yen: DOWN at 156.37 yen from 156.99 yen on MondayEuro/dollar: UP at $1.1779 from $1.1756Pound/dollar: UP at $1.3482 from $1.3458Euro/pound: UP at 87.38 pence from 87.35 penceWest Texas Intermediate: UP 0.1 percent at $58.07 per barrelBrent North Sea Crude: FLAT at $62.08 per barrelburs-rl/rmb

Vietnam’s Communist Party on Tuesday endorsed General Secretary To Lam to remain in the top job for the next five years, according to two sources briefed on a meeting where senior officials agreed a slate of candidates to be announced at the party congress in January.Lam, who became party chief after the death of his predecessor in August 2024, has enacted reforms described by officials as “a revolution”, slashing the bureaucracy and cracking down on corruption as he seeks to boost economic growth. “No change. The party chief remains in his position to ensure stability,” a source briefed on the meeting told AFP.A second source confirmed he will continue as general secretary and also be nominated to serve simultaneously as president, as Chinese President Xi Jinping has done. “On behalf of those entrusted with the nomination to the (party) Central Committee and leadership positions for the next term… we would like to thank the Central Committee, the Politburo, and the Secretariat for their trust in assigning us this task,” Lam said in a speech Tuesday, appearing to thank delegates for nominating him. “We will continue to work together in unity and with a high sense of responsibility and efficiency, meeting the expectations of the Party and the People.”The leadership decisions must be finalized at the party congress which runs from January 19-25, when key policy plans will also be outlined for the next five years.- Radical reform -Lam, who served briefly as president in 2024, stepped up as the top leader two weeks after the death of former General Secretary Nguyen Phu Trong last year.Lam’s rise to the top job followed a long career with the secretive public security ministry, which deals with the monitoring of dissent and surveillance in Vietnam, a one-party state. In his short tenure, he has accelerated administrative reforms and announced vast infrastructure investments — aiming to meet aggressive growth targets that underpin the party’s claim to legitimacy. The reforms saw the number of government ministries and agencies slashed from 30 to 22. State media, the civil service, the police and the military all faced cuts.Roughly 147,000 people were made redundant or took early retirement as Hanoi sought to streamline bureaucracy and boost the economy.Slashing the bureaucracy has been a Communist Party goal for nearly a decade, but Lam intensified the drive. Lam also pushed to reduce the country’s 63 provincial and city administrations to just 34.The reforms to the structure of government follow a sprawling, high-profile anti-corruption campaign in recent years.The drive has swept up dozens of business leaders and senior government figures, including two presidents and three deputy prime ministers since 2021.The radical reforms piloted by Lam come after a long period in which change came slowly, with the government emphasising stability and calm to build a reputation for predictability and court foreign investors.

US economic growth in the third quarter came in at 4.3 percent on an annualized basis, easily topping expectations, according to Commerce Department data released Tuesday.The report, which also showed an acceleration in inflation, provides reassurance about the world’s largest economy after other recent data showing a weakening labor market. It comes as worries have moderated over President Donald Trump’s tariffs and as large tech companies advance massive investments to build new artificial intelligence infrastructure.The gross domestic product report — delayed for nearly two months due to a government shutdown — reflects increases in consumer spending, exports and government spending, partially offset by a decrease in investment, according to the department’s Bureau of Economic Analysis.The reading, an initial estimate expected to be updated in early 2026, marks the highest GDP in two years. Analysts had expected 3.2 percent growth, according to consensus estimates from MarketWatch and Trading Economics.The report also showed the price index for domestic purchases rose 3.4 percent, a much higher inflation reading compared with 2.0 percent in the second quarter.The data suggest faster growth and higher inflation than markets had expected — potentially changing the calculus for upcoming US monetary policy decisions. Trump pointed to the report as evidence that the “Trump Economic Golden Age is FULL steam ahead,” the product of a “genius” policy on tariffs and “NO INFLATION,” disregarding line-item aspects of the data showing otherwise.Other recent data has shown a weakening job market that has prompted the Federal Reserve to cut interest rates at the last three meetings, viewing the employment picture as its prime concern even as inflation has lingered above two percent.- ‘Resiliency of US consumers’ -Heather Long, chief economist at the Navy Federal Credit Union, wrote that the report shows the resiliency of US consumers, boding “well for 2026.””If the economy can avoid widespread layoffs, most American consumers can keep spending,” she said.Joe Brusuelas, chief economist at RSM US, said the GDP data suggest that while growth has been robust, job creation remains “soft” and this dynamic “is likely to be the major economic narrative looking forward into 2025.”The report also falls into the trend of what economists have described as “K-shaped,” where consumption is driven by the wealthy, Brusuelas wrote.US stocks were little changed following the GDP data, as some saw lower odds that the Fed will again cut next month.”I think the implication is that with the GDP numbers being as strong as they are, that gives the Fed additional reason to be on hold at the January (Fed) meeting,” said CFRA Research’s Sam Stovall.While inflation remains well above the Fed’s two percent target, Fed Chair Jerome Powell and other policymakers have described the weakening employment market as the greater concern at the moment.The Fed’s median 2026 GDP forecast is 2.3 percent, up from 1.7 percent projected in 2025, according to a summary of the central bank’s outlook.The data shows “an economy that is growing, but unevenly, one where inflation is still running well above the (Fed’s) target,” said Mike Fratantoni, chief economist of the Mortgage Bankers Association, who predicted just one rate cut in 2026.- Ebbing tariff angst -Tuesday’s report reflects a much improved US macroeconomic outlook compared with earlier in 2025, when worries about Trump’s aggressive trade policy changes weighed on sentiment. But by the latter stages of 2025, Trump’s administration had negotiated agreements with China and other major economies that prevented enactment of the most onerous tariffs. Meanwhile, an AI investment boom by Chat GPT-maker OpenAI, Google and other tech giants continued to pick up momentum, keeping the US stock market near record levels.A December 18 outlook piece from S&P Global Ratings said AI investment would likely buoy the economy but could be offset by political uncertainty under Trump.”US trade policy uncertainty has settled down, but not US policy drama overall,” S&P said. “Statutory US tariff rates may not move much in 2026, but uncertainty around laws, norms, investment rules, military actions and geopolitics more generally will remain elevated,” S&P said. “This uncertainty will likely dampen investment and discretionary consumption.”