Weekly market news: 22 December 2025

Markets head into the final trading days before Christmas in a distinctly quieter mood. With most major economic data and central-bank decisions now behind us, attention turns to year-end positioning, thin liquidity and any last-minute geopolitical or policy headlines that could move prices.

Volumes are expected to be light, meaning markets may react more sharply than usual to even modest news.

Market snapshot this morning

Why it matters

Oil: Prices are steady as demand expectations soften into year-end, while OPEC+ supply discipline continues to underpin the market. Stable oil prices help keep inflation expectations anchored.

Gold: Bullion remains elevated as investors favour defensive assets during thin holiday trading and ongoing geopolitical uncertainty.

FX and rates: The dollar is slightly softer following December central-bank meetings, offering support to sterling and the euro. Thin liquidity can exaggerate FX moves this week.

 

Coming up this week

Monday 22 December

Tuesday 23 December

Wednesday 24 December (Christmas Eve)

Thursday 25 December (Christmas Day)

Friday 26 December (Boxing Day)

 

What you might’ve missed last week

Markets digested December’s central-bank decisions, with policymakers signalling a cautious approach to rate cuts in 2026.

Bond yields edged lower as investors positioned for slower growth and easier policy next year.

Equity markets were range-bound, reflecting low conviction and year-end positioning.

 

Why it matters

This week is less about new information and more about positioning. With liquidity thin and many participants stepping away, price moves can be driven by technical factors rather than fundamentals.

For long-term investors, short-term volatility around year-end is usually noise rather than signal. The focus will quickly shift to January data and the outlook for rates, growth and inflation in 2026.

 

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