US stocks opened higher in the final trading session before the Christmas holiday, with the S&P 500 rising approximately 0.2% and the Nasdaq Composite gaining around 0.3%. The Dow Jones Industrial Average remained near the flatline.

Following significant gains on Friday and Monday, the markets are poised to approach their record highs after a recent downturn influenced by Federal Reserve policies. Investors are reassessing interest rate trajectories for the upcoming year, as the Fed appears to have achieved a soft landing while still contending with persistent inflation. Expectations lean towards two holds at the Fed's January and March meetings, with uncertainty surrounding May's decisions.

Nvidia continues to attract attention, having surged over 3.5% on Monday, contributing to a remarkable 180% increase in its stock value for 2024. However, analysts caution that 2025 may present significant challenges for the tech giant.