U.S. Stocks Edge Lower After Holiday as Energy Slides and Gold Rallies

U.S. stocks closed modestly lower Friday in thin post-holiday trading, as declines in energy markets weighed on sentiment while gold prices climbed and volatility edged higher.

The Dow Jones Industrial Average slipped 20.19 points, or 0.04%, to 48,711.0. The S&P 500 fell 2.10 points, or 0.03%, to 6,929.95, while the Nasdaq Composite declined 20.21 points, or 0.09%, to 23,593.1. Small-capitalization stocks underperformed, with the Russell 2000 dropping 1.32 points, or 0.52%, to 251.39.

Trading volumes were subdued as many institutional investors remained sidelined following the Christmas holiday. Market breadth tilted negative, with declining stocks outnumbering advancers across major exchanges, according to the market dashboard shown in the session data.

Energy markets were a notable source of pressure. U.S. crude oil futures for February delivery fell sharply, sliding $1.62, or 2.78%, to $56.73 a barrel. The drop pushed oil prices toward the lower end of their recent trading range and weighed on energy-related equities during the session.

In contrast, gold prices advanced, reinforcing their role as a defensive asset in quiet markets. February gold futures rose $59.00, or 1.31%, to $4,561.80, outperforming most major asset classes on the day. The move came as equity markets stalled near record highs and investors showed renewed interest in perceived safe-haven assets.

Volatility also ticked higher. The CBOE Volatility Index, or VIX—often referred to as Wall Street’s “fear gauge”—rose 0.26 points, or 1.93%, to 13.73. Despite the increase, volatility remained near historically low levels, underscoring the calm tone of the session even as equities drifted lower.

Cryptocurrency markets weakened alongside risk assets. Bitcoin fell $616.69, or 0.70%, to $87,448.50. The digital currency remained well below its recent highs but continued to trade within a relatively narrow intraday range, according to the pricing data shown.

With no major economic data releases or policy announcements, markets appeared to lack a clear catalyst. Instead, price action reflected positioning adjustments, commodity-driven sector moves, and the lingering effects of holiday-thinned liquidity.

Investors now turn their attention to the final trading days of the year, when lower volumes can amplify market swings, even in the absence of fresh macroeconomic developments.