Dow Recovers 600+ as Oil Prices Ease - InvestingChannel

Dow Recovers 600+ as Oil Prices Ease



Stocks posted sharp gains on Wednesday as recently surging commodity prices cooled off while the war in Ukraine continues.

The Dow Jones Industrial popped 645.74 points, or 1.9%, to 33,278.38.

The S&P 500 hiked 95.89 points, or 2.3%, to 4,266.59.

The NASDAQ Composite leaped 373.53 points, or 2.9%, to 13,169.05.

The gains came amid an easing in commodity prices that have spooked the broader market. Energy and agriculture products in particular have catapulted higher amid the fighting in Ukraine, while some metals also have posted major gains.

Certain consumer-related stocks roared back on Wednesday after weakness on fears that higher gas prices would dent consumer spending. Nike rose 6% and Starbucks added 3.8%.

Airlines and cruise lines were also higher on Wednesday. Carnival Corp. is up more than 7% and United Air Lines is 7.2% higher.

Bank stocks moved higher as yields rose. PNC Financial was up 4% and Wells Fargo rose more than 5%. Goldman Sachs and JPMorgan were 3% higher each.

Energy stocks were lower on Wednesday following a strong session Tuesday after President Joe Biden announced a ban on Russian fossil imports, including oil, in response to the country’s invasion of Ukraine.

Pepsico shares rose more than 1% after the soft drink giant said it will suspend sales in Russia, though it will continue to sell snacks and essentials such as baby formula. Elsewhere, shares of dating service Bumble soared 37% after it reported profit and expected growth that was much better than Wall Street expectations.

On the economic data front, job openings outnumbered available workers by nearly five million in January, the U.S. Labor Department reported Wednesday.

Total vacancies actually dipped a bit, falling to 11.26 million following a substantial upward adjustment in December’s numbers, the Job Openings and Labor Turnover Survey showed.

Treasury prices faded, bringing yields to 1.92% from 1.85% Tuesday. Treasury prices and yields move in opposite directions.

Oil prices dropped $5.06 to $118.64 U.S. a barrel.

Gold prices subsided $37.30 to $2,006 U.S. an ounce.

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