US stocks approach records after mixed reports on economic growth, consumer confidence

NEW YORK (AP) — Stocks are edging closer to records Tuesday following updates that showed the economy grew sharply during the third quarter, but inflation remains high and consumers are losing confidence.

The S&P 500 rose 0.3% and is just below the all-time high it set earlier this month. The Dow Jones Industrial Average rose 93 points, or 0.2%, as of 1:03 p.m. Eastern. The Nasdaq composite rose 0.3%.

A majority of stocks with the S&P 500 were losing ground, but several big technology stocks pushed the market higher. Nvidia rose 2.4% and Google’s parent company, Alphabet, rose 1.2%. They are among several companies with outsized valuations that tend to have more impact on the broader market’s direction.

Novo Nordisk jumped 8.3% after U.S. regulators approved a pill version of the blockbuster weight-loss drug Wegovy, the first daily oral medication to treat obesity.

Wall Street is getting the latest economic updates during an otherwise quiet holiday-shortened week. Markets in the U.S. will close early Wednesday for Christmas Eve and remain closed for Christmas on Thursday.

The U.S. economy grew at a 4.3% annual rate during the third quarter. That builds on 3.8% growth during the second quarter and marks a sharp turnaround from the first quarter, when the U.S. economy shrank for the first time in three years.

The latest report also showed that stubborn inflation continues to hover over the economy. The Federal Reserve’s favored inflation gauge — called the personal consumption expenditures index, or PCE — climbed to a 2.8% annual pace last quarter, up from 2.1% in the second quarter.

The yield on the 10-year Treasury rose to 4.17% from 4.15% just before the report on gross domestic product for the third quarter was released. The yield on the two-year Treasury, which more closely tracks expectations for Fed actions, rose to 3.54% from 3.49% just prior to the report’s release.

The Fed has been taking a more cautious policy approach amid mixed signals from the economy. Economic growth has been occurring at the same time that inflation remains stubbornly above the central bank's 2% target. The job market is also slowing, adding another layer of concern to whether the central bank should continue cutting interest rates.

On Wednesday, the Labor Department will release its weekly data on applications for jobless benefits, which stands as a proxy for U.S. layoffs.

“The Fed has been balancing off inflation risks versus weakening labor markets and today’s report further complicates their dilemma,” wrote Dominic Pappalardo, chief multi-asset strategist at Morningstar Wealth, in a note to investors.

The Fed has cut interest rates three times in 2025 and the central bank's rate-setting committee is divided about additional rate cuts in 2026. The committee members, at their last meeting, projected a wide range of possibilities from holding rates steady to two or more reductions.

Wall Street expects the Fed to hold rates steady at its upcoming meeting in January.

Consumer spending and confidence has been shaky amid worries about high prices, especially with a wide-ranging U.S. trade war that could drive prices for many goods even higher.

The latest update from business group The Conference Board showed that consumer confidence fell in December to its lowest level since tariffs were rolled out in April. Meanwhile, retail sales have been weakening, with consumers growing more cautious.

Consumers have become more targeted in their buying during the holiday shopping season, according to Visa's Consulting and Analytics division. From Nov. 1 through Sunday, cash and credit card sales rose 4.2%, which is less than the 4.8% increase during the same period a year ago.

Markets were mixed in Asia and Europe.

The price of gold continued rising. It was up 0.6% Tuesday and is up about 70% for the year.

Oil prices were relatively stable after jumping a day prior. U.S. benchmark crude rose 0.4% and the price of Brent crude, the international standard, rose 0.3%.

Matt Ott and Elaine Kurtenbach contributed to this report.

Anthony Matesic works on the floor at the New York Stock Exchange in New York, Wednesday, Dec. 10, 2025. (AP Photo/Seth Wenig)

Trader Jonathan Mueller works on the floor of the New York Stock Exchange, Thursday, Dec. 11, 2025. (AP Photo/Richard Drew)

Trader William Lawrence works on the floor of the New York Stock Exchange, Thursday, Dec. 11, 2025. (AP Photo/Richard Drew)

Walmart is displayed on the facade of the Nasdaq MarketSite, in New York, Tuesday, Dec. 9, 2025. (AP Photo/Richard Drew)

A dealer works near the screens showing the Korea Composite Stock Price Index (KOSPI), left, and the foreign exchange rate between U.S. dollar and South Korean won at a dealing room of Hana Bank in Seoul, South Korea, Thursday, Dec. 18, 2025. (AP Photo/Lee Jin-man)

A person walks in front of an electronic stock board showing the market indexes of Shanghai, Tokyo and New York Dow at a securities firm Friday, Dec. 19, 2025, in Tokyo. (AP Photo/Eugene Hoshiko)

A dealer watches computer monitors at a dealing room of Hana Bank in Seoul, South Korea, Thursday, Dec. 18, 2025. (AP Photo/Lee Jin-man)

TANGIER, Morocco (AP) — Nicolas Jackson scored twice as Senegal started its Africa Cup of Nations title bid with a comfortable 3-0 win over Botswana on Tuesday.

Substitute Cherif Ndiaye completed the scoring after Botswana goalkeeper Goitseone Phoko had prevented worse for the Zebras, who lined up with five at the back and were pinned back for most of the game.

“We have to keep going like this,” said Senegal coach Pape Thiaw, who nevertheless saw room for improvement.

Senegal, winner of the 2021 edition and one of the favorites again, should have scored more against a team ranked 138th in the world, all while the colorfully dressed Senegal fans danced to the beat of their drums.

The official team supporters had taken their positions long before kickoff and never stopped, not even as organizers blared pop tunes and advertisements in the otherwise mostly empty stadium.

Attendance in the 68,000-capacity Grand Stade de Tanger, which looks like a donut from the outside, was just over 18,500. Heavy rainfall likely kept neutral fans away. It kept pouring on the third day of what is shaping up to be the wettest and coldest Africa Cup to date. The tournament was initially scheduled for the summer, but it was pushed back to avoid clashing with FIFA’s new Club World Cup competition.

Jackson, who has had limited opportunities at Bayern Munich since his summer switch from Chelsea, missed a host of chances. The first came early with Phoko getting the better of their one-on-one, before Pape Gueye fired over, and Phoko made another great save to deny Sadio Mané.

Many more chances were missed before Jackson finally broke the deadlock in the 40th with a simple finish to Ismail Jakobs’ fast cross.

Botswana initially showed more attacking ambition after the break, but that yielded more counterattacking opportunities for the Teranga Lions, who quickly resumed their earlier dominance.

Jackson used both feet before sweeping in the ball in for his second goal in the 58th from Ismaïla Sarr’s cross.

Phoko remained the busiest Botswana player as Jackson’s frustrations grew. Jackson went off for Ndiaye in the 78th and the substitute wrapped up the scoring in the last minute.

An early goal from Théo Bongonda was enough for Congo to beat Benin 1-0 in the first game in Group D.

Nigeria, which lost the final to host nation Ivory Coast in the last edition, was opening its campaign later against Tanzania — the Taifa Stars — in the old “imperial city” of Fez.

Also later, Tunisia faced Uganda in Rabat for the second game in Group C.

AP at the Africa Cup: https://apnews.com/hub/africa-cup-of-nations

Senegal's Cherif Ndiaye, left, and Cheikh Sabaly celebrate after a goal during the Africa Cup of Nations group D soccer match between Senegal and Botswana in Tangier, Morocco, Tuesday, Dec. 23, 2025. (AP Photo/Mosa'ab Elshamy)

Senegal's Cherif Ndiaye celebrates after scoring during the Africa Cup of Nations group D soccer match between Senegal and Botswana in Tangier, Morocco, Tuesday, Dec. 23, 2025. (AP Photo/Mosa'ab Elshamy)

A general view of the Tangier Grand Stadium is seen during the Africa Cup of Nations group D soccer match between Senegal and Botswana in Tangier, Morocco, Tuesday, Dec. 23, 2025. (AP Photo/Mosa'ab Elshamy)

Senegal's Nicolas Jackson celebrates after scoring during the Africa Cup of Nations group D soccer match between Senegal and Botswana in Tangier, Morocco, Tuesday, Dec. 23, 2025. (AP Photo/Mosa'ab Elshamy)

Senegal's Nicolas Jackson celebrates after scoring during the Africa Cup of Nations group D soccer match between Senegal and Botswana in Tangier, Morocco, Tuesday, Dec. 23, 2025. (AP Photo/Mosa'ab Elshamy)