US stocks experienced modest gains on Tuesday, primarily driven by the technology sector, as the market entered a shortened trading session before Christmas.

Investors are currently anticipating the release of initial jobless claims data on Thursday, with economists predicting a slight increase to 225,000 claims from the previous week's 220,000. Historical trends indicate that the S&P 500 has averaged a return of 1.3% during the Santa Claus trading window, with a positive outcome 79% of the time. When considering data dating back to 1928, the average gain during this period rises to 1.6%, according to Bank of America.

The bond market will also close early on Tuesday and remain closed on Wednesday for Christmas.