Dow Jones falls 250 points, tech leads Nasdaq lower; Sharp fall in Gold, Silver

Benchmark indices on Wall Street witnessed a bout of profit booking on Monday, December 29, to begin the final three days of 2025 on a negative note. No specific trigger was behind the move, as analysts termed it routine profit booking, on a day that is generally part of the "Santa Rally."

The Dow Jones fell 250 points, the S&P 500 fell 0.4%, while the Nasdaq ended 0.5% lower, dragged by profit booking in tech names such as Nvidia.

Attention was grabbed by the sharp reversal seen in precious metals after a historic rally until Monday morning. Gold, Silver, Platinum and Palladium prices plunged later on Monday after all made new intraday records. Gold prices fell 4%, while Silver's intraday drop of 11% was the biggest since September 2020. Platinum and Palladium prices also fell 14% and 16% respectively as volumes remained thin, leading to exaggerated trades on either side.

New complications arose in the Russia-Ukraine peace talks after claims from the Russian side that as many as 91 drones attacked President Vladimir Putin's residence in the Novogrod region, a claim that Ukraine denies and says that Russia may use this "lie" as a pretext to continue justifying the war that will now enter its fourth year.

This, coupled with the ongoing conflicts in Venezuelan waters with the US, and China's vow to continue supporting growth lifted oil prices higher with the West Texas closing above the mark of $58 a barrel, while Brent nearing $62.

While the rest of the week will lack any directional triggers, minutes of the most recent Federal Reserve meeting will be released later this evening.