Market confidence is building for a year-end rally as Bitcoin recovers recent losses and U.S. tech stocks rise, according to CNBC. Despite a turbulent start to December, investors remain optimistic, with the CME FedWatch tool indicating an 89.2% probability of a 25-basis-point rate cut at the Federal Reserve's December 10 meeting, a significant increase from last month's 50-50 odds.
Doug Beath from Wells Fargo Investment Institute highlighted that the market is shifting focus back to fundamentals, buoyed by stronger-than-expected Q4 and 2026 earnings forecasts. This optimism persists despite current economic challenges, as investors anticipate growth in 2026.
Market Optimism Grows as Bitcoin and Tech Stocks Rebound
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