This Weekly Financial Markets Update reviews the top market headlines: Steady Inflation Trends in Favored Fed Report, Services Sector Activity Expands in November, Copper Surges to a Record High
  • The PCE price Index rose at a 2.8% annual pace in September
  • The ISM Services Index increased to 52.6% in November
  • Copper prices closed at a record high of $11,645.00 per ton

Top Three Market Headlines

Steady Inflation Trends in Favored Fed Report: The U.S. Bureau of Economic Analysis last week issued the September Personal Consumption Expenditures (PCE) report, which had been delayed by the U.S. government shutdown. The PCE price index, the Federal Reserve's preferred inflation indicator, rose 0.3% during the month and 2.8% on a year-over-year basis, the latter little changed from 2.7% in August. The annual rate has been rangebound between 2.6% and 2.8% over the prior four months, above the Federal Reserve's 2% inflation target. Core PCE, which excludes food and energy, increased 0.2% on the month and 2.8% annually, each down marginally from August.

Services Sector Activity Expands in November: The Institute for Supply Management (ISM) reported last week that its ISM Services Index, based on surveys of business executives, registered 52.6% for the month of November. This was the highest reading since February and the sixth consecutive month the index exceeded the 50% threshold that distinguishes expansion of business activity from contraction. In contrast, conditions in the manufacturing sector of the economy remained more constrained, as the ISM Manufacturing Index came in at 48.2%. This was down slightly from 48.7% in October and was the ninth straight month of contracting activity.

Copper Surges to a Record High: Copper prices rallied to a new all-time high last week, with the metal closing at $11,645.00 per ton on the spot trading market, surpassing the previous high of $11,068.00 in late October. Prices were up nearly 6% on the week and have risen more than 30% this year due to tight global supply and strong demand. Traders have boosted shipments to the U.S. amid tariff uncertainty, while demand remains robust due to electric vehicles, renewable energy, and data centers. At the same time, disruptions at major mines in Indonesia, Chile, and Congo have worsened supply shortages.

As of December 5, 2025 Week Quarter-To-Date Year-To-Date One-Year
MSCI All Country World 0.59% 2.82% 21.78% 17.57%
S&P 500 0.35% 2.95% 18.22% 14.57%
Russell 2000 0.88% 3.69% 14.47% 6.68%
MSCI EAFE 0.77% 2.59% 28.38% 23.18%
MSCI Emerging Markets 1.42% 3.13% 31.53% 28.53%
FTSE NAREIT Equity -1.62% -0.86% 3.61% -1.66%
Bloomberg Commodity 1.52% 7.80% 17.91% 19.95%
Bloomberg U.S. Aggregate -0.48% 0.76% 6.94% 4.94%

WSJ 12/3/2025, Bureau of Economic Analysis 12/05/2025, ISM 12/1/2025 & 12/3/2025, FactSet. Data from Morningstar Direct. Returns for periods greater than one year are annualized. Investment advisory services are offered by Gallagher Fiduciary Advisors, LLC ("GFA"), an SEC registered investment advisor that provides retirement, investment advisory, discretionary and independent fiduciary services. Registration as an investment adviser does not imply any specific level of skill or training and does not constitute an endorsement of the firm by the SEC. GFA is a limited liability company with Gallagher Benefit Services, Inc. as its single member. GFA may pay referral fees or other remuneration to employees of Arthur J. Gallagher & Co. or its affiliates or to independent contractors; such payments do not change our fee. Neither Arthur J. Gallagher & Co., GFA, their affiliates nor representatives provide accounting, legal or tax advice. GFA does not express an investment opinion regarding any specific commodity, sector or individual security. Unless otherwise expressly noted, the contents of this communication do not constitute securities or investment advice, nor should this communication be construed as an opinion regarding the appropriateness of any investment. The information provided cannot take into account all the various factors that may affect your particular situation, therefore you should consult your GFA consultant before acting upon any information or recommendation contained herein to discuss the suitability of the information/recommendation for your specific situation.