Schwab Trading Activity Index™: STAX Score Slightly Down in December, Breaking Streak

Key Terms

gross domestic product (gdp) financial

Gross domestic product (GDP) measures the total value of all goods and services produced within a country's borders over a set period, like a nation’s economic “paycheck” or scorecard. Investors use GDP to gauge the health and direction of an economy because faster growth usually means higher potential sales and profits for companies, while slower growth can signal weaker corporate earnings, changing interest rates and shifts in market confidence.

consumer price index (cpi) financial

A measure that tracks how much the typical household’s prices for a fixed basket of goods and services change over time, used to gauge inflation. Like checking how fast a balloon is expanding, CPI indicates how quickly your money’s buying power is shrinking; changes influence central bank interest-rate decisions and therefore affect borrowing costs, company profits, bond yields and stock valuations, so investors watch it closely.

Schwab clients were net sellers in December, ending a three-month run of outpacing the S&P 500® index (SPX)

WESTLAKE, Texas--(BUSINESS WIRE)-- The Schwab Trading Activity Index™ (STAX) decreased to 48.48 in December, down from its score of 48.75 in November. The only index of its kind, the STAX is a proprietary, behavior-based index that analyzes retail investor stock positions and trading activity from Schwab’s millions of client accounts to illuminate what investors were actually doing and how they were positioned in the markets each month.

“Each December, we expect to see retail investors doing some repositioning in anticipation of the year’s close, and this STAX period was no different,” said Joe Mazzola, Head Trading and Derivatives Strategist at Charles Schwab. “While that did tip the scales into net-selling territory, the degree to which clients net sold was ultimately modest. As we saw throughout 2025, Schwab’s clients trimmed into strength and sought dips to buy into, particularly as the market hit 52-week highs near the month’s end.”

During the December STAX period, which ended on the 26^th of the month, the STAX broke a three-month streak of outpacing the S&P 500 index (SPX), which itself only rose 1.18%. Clients were net sellers during the period, but movement within the STAX Index was minimal, with much of the selling occurring during the holiday-shortened final week and more likely to represent end-of-year repositioning activity than a major sentiment change.

At the sector level, Information Technology went from the largest net-buy in November to biggest net-sell in December, while Consumer Discretionary saw the second-most net selling, followed by Health Care, Industrials, and Energy.

Major U.S. indexes set all-time highs on December 26, the very end of the STAX period, but those new heights represented just a slight increase from both earlier in the month and the previous highs set back in October. December saw a widely-anticipated rate cut from the Federal Reserve—its third since September—and a surprisingly strong third quarter gross domestic product (GDP) growth figure alongside a softer-than-expected Consumer Price Index (CPI) for November.

The most aggressively positioned investors tracked by Schwab during December again belonged to Generation X, born between 1965 and 1980. Among the least aggressive was Generation Z, born between 1997 and 2012.

Popular names bought by Schwab clients during the period included:

• Netflix Inc. (NFLX)
• NVIDIA Corp. (NVDA)
• Broadcom Inc. (AVGO)
• Amazon.com Inc. (AMZN)
• Alphabet Inc. (GOOG)

Names net sold by Schwab clients during the period included:

• Tesla Inc. (TSLA)
• Palantir Technologies Inc. (PLTR)
• Intel Corp. (INTC)
• Warner Bros Discovery Inc. (WBD)
• Rivian Automotive Inc. (RIVN)

About the STAX

The STAX value is calculated based on a complex proprietary formula. Each month, Schwab pulls a sample from its client base of millions of funded accounts, which includes accounts that completed a trade in the past month. The holdings and positions of this statistically significant sample are evaluated to calculate individual scores, and the median of those scores represents the monthly STAX.

For more information on the Schwab Trading Activity Index, please visit www.schwab.com/investment-research/stax. Additionally, Schwab clients can chart the STAX using the symbol $STAX in either the thinkorswim^® or thinkorswim Mobile platforms.

Investing involves risk, including loss of principal. Past performance is no guarantee of future results.

Content intended for educational/informational purposes only. Not investment advice, or a recommendation of any security, strategy, or account type.

Historical data should not be used alone when making investment decisions. Please consult other sources of information and consider your individual financial position and goals before making an independent investment decision.

The STAX is not a tradable index. The STAX should not be used as an indicator or predictor of future client trading volume or financial performance for Schwab.

About Charles Schwab

At Charles Schwab, we believe in the power of investing to help individuals create a better tomorrow. We have a history of challenging the status quo in our industry, innovating in ways that benefit investors and the advisors and employers who serve them, and championing our clients’ goals with passion and integrity.

More information is available at aboutschwab.com. Follow us on X, Facebook, YouTube, and LinkedIn.

0126-TDMJ

View source version on businesswire.com: https://www.businesswire.com/news/home/20260105952759/en/

At the Company

Margaret Farrell

Director, Corporate Communications

(203) 434-2240

margaret.farrell@schwab.com

Source: The Charles Schwab Corporation