Stocks increased on Wednesday as Wall Street attempted to rebound from the severe losses experienced in the previous session, helped by a decrease in Treasury yields and a release of encouraging economic data.
67 points, or 0.2%, were added to the Dow Jones Industrial Average. The Nasdaq Composite rose 0.6%, and the S&P 500 increased by 0.4%.
After reaching its greatest levels since 2007, the benchmark 10-year Treasury yield decreased. A recent multiyear high in the 2-year Treasury yield was also broken.
The orders for durable goods increased 0.2% in August, the Commerce Department stated on Wednesday morning. That exceeded a 0.5% drop prediction made by Dow Jones.
Recent rate increases have put pressure on stocks as investors worry that the Federal Reserve may maintain its restrictive monetary policy for a longer period of time than anticipated. For the first time since June, the S&P 500 dropped below the crucial 4,300 level on Tuesday. Additionally, the Dow experienced its largest single-day loss since March, losing more than 300 points and closing below its 200-day moving average for the first time since May. These losses followed statistics on new home sales and consumer confidence that fell short of economists’ expectations.
Source (CNBC)