The S&P 500 powered to a fresh record on Tuesday following data showing surprisingly robust third-quarter US economic growth as markets hope for a year-end "Santa Claus Rally."

All three major Wall Street indices advanced, shaking off early choppiness after the strong US gross domestic product report sparked talk that the Federal Reserve could refrain from further interest rate cuts.

"The GDP number was unambiguously good and eventually markets come around to the realisation that good news is good news," said Art Hogan of B Riley Wealth Management.

"Unfortunately, the knee-jerk reaction was: 'If the economy is that strong, does the Fed need to cut anymore?'" said Hogan. "Luckily today, we shed that thought process."

US GDP came in at 4.3 percent, the highest reading in two years, easily topping expectations for 3.3 percent growth.

Heather Long, chief economist at the Navy Federal Credit Union, wrote that the report shows the resiliency of US consumers, boding "well for 2026."

"If the economy can avoid widespread layoffs, most American consumers can keep spending," she said.

Separate data showed US consumer confidence fell in December, as a slowing job market offset better sentiment after the government shutdown ended, according to a Conference Board survey.

eToro investment analyst Bret Kenwell noted the headline figure has now declined for five straight months, and the component showing the confidence of consumers in their present situation is at its lowest since February 2021.

"Simply put, despite solid GDP figures and a stock market at record highs, consumers are feeling some anxiety," he said.

Gold jumped to a high above US$4,497 per ounce, while silver surged above US$70 an ounce, with the US blockade against Venezuela and the Ukraine conflict adding support.

Copper, which is used in electric vehicle batteries and solar panels, hit a record price of US$12,159.50 per ton.

"Silver and above all copper are benefiting from structural support from the energy transition, electrification and the colossal needs for digital infrastructure and artificial intelligence," said John Plassard, an analyst at Cite Gestion Private Bank.

In company news, shares in Danish pharmaceutical giant Novo Nordisk jumped more than eight percent after the US approved its popular GLP-1 anti-obesity drug Wegovy to be administered in pill form for weight loss.

The S&P 500 rose 0.5 percent, to 6,909, surpassing the record set earlier this month. The Dow rose 0.2 percent, to 48,442, while the Nasdaq rose 0.6 percent, to 23,561. (AFP)