On this episode of The Young and the Restless (Tuesday, December 23, 2025), while Traci and Lily shared a nostalgic lunch discussing the children they love, a storm was brewing at the office. Just as Lily began to wonder if Cane had truly changed, she walked in on a sight that shattered her hope: Cane and Phyllis locked in a passionate embrace. Is this the end of “Lane” for good?
Last Episode
On the last episode of Y&R, Kyle struggled with his feelings for Claire, while Billy found a new sense of peace as the Abbott-Newman war reached a breaking point.
Society
Traci and Lily meet for lunch. Traci says she follows Lily’s kids on social media, and they’re brave and confident. Her daughter, Colleen, would have loved Lily’s kids.
Lily agrees. She hopes it’s not too painful to talk about Colleen.
Traci says she doesn’t get to talk about Colleen enough, and she’s grateful to have had her in her life, even though it was so brief. Children are precious!
Lily sighs. Her kids won’t even come home for Christmas. She thinks it has to do with Cane.
Traci reminds Lily when Colleen was in her “rebellious” phase; she moved in with her uncle Jack, but she always came back. She asks how things are going between her and Cane.
Lily says things with Cane are messy and confusing. It’s gotten complicated! At times, he makes her crazy, but other times, he’s very convincing! He was her plus-one to the Abbott Communications launch party… It wasn’t a date!
Traci agrees he must have been convincing… Why did she say yes?
Lily says Cane felt lighter and easier, like he’d gotten rid of the Aristotle Dumas shadow. She reminds Traci that she and Cane went through a lot, including cancer. Why does he have to be so charming, suddenly?
Traci laughs. It’s okay to laugh and have fun with a “charming jerk” who gave her two beautiful children. She wants Lily to enjoy love if it comes along! It may not be a reunion, but it’s not a bad thing if she finds Cane entertaining and enjoys chatting with him.
Lily shrugs. She’s just surprised by her own reaction to Cane. She asks if Jabot will be okay.
Traci says Jack, Diane, Kyle, and Billy are working hard to keep everything afloat.
Lily nods. Neil used to hold Victor in check, but now that he’s gone, Cane is the reason that Victor holds the cards.
Traci says she can’t blame Cane… Victor would have found another way to go after Jabot if he didn’t have the AI.
Lily isn’t sure how Cane could ever fix the damage he’s caused.
Traci reminds Lily that Cane warned Jack when the AI was stolen. The warning made a difference!
Lily thinks Traci gives people more credit than they deserve.
Traci laughs. She remembers giving someone more credit than they deserve, and they turned out to be pure evil.
Lily apologizes. She never meant to bring that up!
Traci says it’s okay; it’s like talking about Colleen. People don’t even mention Martin’s name to her, but scars make a person who they are!
Lily wonders if Traci will ever fall in love again.
Traci laughs. That’s complicated, but if it happens, it happens! She says she feels the butterflies and hope when she writes a new story about falling in love. There’s always a chance that people in her books will fall in love again; anything is possible!
Lily is glad they had lunch together, and Traci is glad, too. She tells Lily to call her anytime.
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Cane’s Office
Cane calls his kids and leaves a voicemail. He wants to make sure that he’s not the reason they won’t spend time with their mom.
Phyllis shows up.
Cane thinks it takes “brass” to walk into enemy territory. What does she want?
Phyllis says she thinks they see life the same way; too much is never enough for either of them! She makes things happen! They should be friends!
Cane smirks. She was done with him, and now she wants to be pals?
Phyllis hands him a gift bag. He pulls out a wooden cube and asks what it is. She tells him it’s a puzzle for a man who likes puzzles and mazes.
Cane smiles. Intriguing. He’s sorry he doesn’t have a gift for her.
Phyllis grins. She’ll just whisper something in his ear and he can make the magic happen!
Cane laughs. There’s something about her; he can see she’s about to work him over!
Phyllis protests. She’s not going to work him over! She takes a breath and says she regrets walking away from him. They make a good team. Who else is he going to find in this town who’s as ambitious and passionate as she is?
Cane smirks. Passionate or desperate?
Phyllis says the only people who make fun of desperation are those people who never had to scrimp and save. She was supposed to be at the top of her game with Chancellor, Abbott Communications, Arabesque, and Jabot… But now she has nothing, and that’s why she’s there with humility and her hat in her hand. Maybe she is desperate, but she thinks the two of them together are the answer.
Cane asks why she’s changed; she didn’t think that a week ago.
Phyllis says he caved to Lily a week ago. They could both have been at the top of their game, but he went soft. She needs him, and she thinks he knows he needs her, too.
Cane guesses her “awesome” deal fell through… Victor double-crossed her, and now she’s here and wants to team up with the person she robbed.
Phyllis gulps and repeats her line that they’re perfect for each other.
Cane asks why two people who don’t trust each other would team up.
Phyllis says they know what they’re capable of and it keeps them on their toes. He’s leaving himself open for attack if he doesn’t!
Cane says she was the one who attacked him. He doesn’t think she brings anything to the table, and wonders what he has left that could be of use to her.
Phyllis says they shouldn’t dwell on who did what to whom… She didn’t gut Arabesque; that was Victor! He’s the real enemy here! She wants to help him get payback, money, and power. They need to get their priorities straight; they both know what they want, and they shouldn’t waste time hating each other… It’s too boring. Going for what they want would be a lot more fun!
Cane asks what her plan is.
Phyllis says she’s going to steal the AI software back from Victor, then they’ll take over Newman Enterprises.
Cane is sure she could do it in her sleep… Why does she need him?
Phyllis says they’re a good team. Cane could take over the divisions that bore her!
Cane thinks running Newman Enterprises sounds nice, but he’s not sure it’d give him time to watch the sunset or even do his puzzle!
Phyllis asks who he’s going to watch the sunset with… Lily? His kids? He doesn’t have anyone and is totally alone! It’d just be her and Aristotle Dumas as partners!
Cane growls. “Don’t call me that.”
Phyllis slinks up to him and tells him to let Aristotle come out and play. She leans in and kisses him. “Do you want to take over the world with me?”
Lily walks in as Phyllis and Cane are kissing. She’s shocked to see them.
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Chancellor Park Overlook
Noah gets up from being knocked out. He rubs his head and stumbles out of the park, calling out for Sienna.
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Sharon’s House
Nick calls Noah and leaves him a voicemail. He tells Noah that he needs him to get in touch with them; Matt is definitely in town! He ends the call.
Sharon comes in as he’s leaving the message. She wants Noah home now. She calls and leaves him a voicemail, asking him to contact them immediately. She thinks Matt might have gotten to him already.
Nick thinks he should track Noah down himself. They can’t let Matt think he’s got the upper hand; he doesn’t! His phone rings; it’s Noah. He puts him on speakerphone.
Noah walks into Crimson Lights as he’s talking to his dad. He asks if Sienna is with them; he doesn’t know where she is!
Sharon says he put his life in danger. Why did he leave?
Noah says it’s not the time for that. Someone bashed him on the back of his head and knocked him out; when he woke up, Sienna was gone.
Nick wonders if it was Sienna who knocked him out.
Noah says there’s no way. He tells them he’s at Crimson Lights; he’s safer in public. He knows Matt must have hit him and grabbed Sienna. They have to find her before Matt hurts her!
Nick and Sharon tell him to stay put; they’re on the way!
The Abbott Mansion
Diane sends Michael a message. “Please tell me you’ve found something to help us. We need you.” Traci comes home, and Diane tells her that she’s got Michael helping them. She won’t let Victor or anyone hurt the Abbotts!
Traci smiles. She knows it feels good to help family! She thinks Diane might be the fighter this family needs; they’re lucky to have her!
Diane says she redid the house as a thank-you to the Abbotts and a way to belong… Who knew she didn’t have to fight for it?
Traci laughs and hugs her. It’s their mission to embrace the season! They need to remember it’s important to fight for the things that matter most. She wishes Diane a happy Christmas.
Crimson Lights
Nick and Sharon arrive at the coffeehouse and greet their son.
Sharon gets a server to bring some ice in a towel for Noah’s head.
Noah assures his parents he’s fine; he needs to find Sienna. If Matt gets her out of town right now, he might never see her again!
Nick and Sharon say Matt has no power here; he can’t just kidnap Sienna and sneak her out of town… He has no resources!
Noah says Matt has nothing to lose.
Nick says he has a thought… What if Sienna went with Matt willingly? He tries to convince Noah that Sienna might be behind it, but Noah isn’t having any of it.
Noah says if they won’t believe that Matt’s behind this, then he doesn’t need or want their help. He’ll find Sienna himself! His phone rings and he answers.
It’s Matt calling. “Hey friend. Miss me?”
Noah threatens Matt. “If you hurt Sienna…”
Matt laughs. What, will Noah kill him? He should keep better track of his woman!
Noah says he doesn’t think of her like property, unlike Matt.
Matt wants to know when Noah first decided to go after Sienna… Was it because his parents jumped from affair to affair?
Noah says that it was all him, not Sienna. Let Sienna go and take him instead! He says that only a coward would knock him out without looking him in the eye first.
Matt acts shocked. “Someone knocked you out? Heavens!”
Sharon comes over and yells into Noah’s phone. “Leave my family alone!”
Matt hangs up, and Noah asks why Sharon would do that. He doesn’t even know if Sienna is still alive!
Nick says they’re trying to help. Matt won’t do anything to Sienna; that would remove his leverage! They need to force his hand now, not later. He gets Noah to give him his phone and calls Matt back.
Matt answers, “Did mommy make you give back your phone?”
Nick says it’s him.
Matt grins. “Hello daddy.”
Nick tells him that he’s called to give Matt a chance… He wants to make a deal.