Mon Dec 08 14:30:00 UTC 2025: Stocks Tread Water Ahead of Anticipated Fed Rate Cut; M&A Activity Heats Up

NEW YORK, NY – U.S. stock markets experienced a mixed trading day Monday as investors awaited the Federal Reserve’s highly anticipated policy meeting, which begins Tuesday. The S&P 500 and Dow Jones Industrial Average remained relatively flat, while the Nasdaq Composite saw a modest gain of 0.3%. The market is widely expecting the Fed to announce an interest rate cut at its conclusion on Wednesday, with traders currently assigning an 88% probability to such a move.

Beyond the Fed, several significant developments shaped Monday’s market activity. Shares of Paramount SkyDance (PSKY) jumped 5% after launching a $108 billion hostile bid for Warner Bros. Discovery (WBD), sending WBD shares soaring by over 7%. This move throws a wrench into plans for Netflix (NFLX) to acquire WBD, causing Netflix stock to dip.

In the healthcare sector, Structure Therapeutics (GPCR) saw its stock rocket by 72% following positive results from a mid-stage study of its oral obesity pill. The company reported significant weight loss in patients, paving the way for late-stage trials in 2026.

IBM (IBM) announced a definitive agreement to acquire data streaming platform Confluent (CFLT) for $11 billion. Confluent stock surged nearly 30% on the news, while IBM shares declined slightly. The acquisition is aimed at bolstering IBM’s cloud software business and its presence in the AI applications market.

Oil prices edged lower as traders braced for the likely Fed rate cut and amid stalled peace talks between Russia and Ukraine. West Texas Intermediate crude futures fell 1.2% to trade below $60 per barrel.

Investors will be closely watching upcoming economic data, including the postponed October JOLTS job openings report, which is set to release Tuesday. Upcoming earnings reports from Oracle (ORCL), Adobe (ADBE), Broadcom (AVGO), and Costco (COST) will also be closely scrutinized.

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