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Santa Claus rally 2025 prediction: How AI, Fed cuts, and tech stock volatility are shaking Wall Street

Stock market prediction December 2025: Wall Street strategists are warning that the traditional Santa Claus rally may not occur this December. Unprecedented market behavior throughout the year, driven by AI disruption and volatility, has defied seasonal patterns. Investors are showing bearish sentiment, with a potential Fed rate cut's impact uncertain, making year-end gains less likely.