The Dow Jones Industrials recovered 60.41 points to 31,877.46.
The S&P 500 regained 28.18 points to 3,964.87.
The NASDAQ Composite jumped 193.03 points, or 1.7%, to great noon at 11,906.17.
Those gains follow Tuesday’s rally, when the Dow surged more than 700 points, as Wall Street bet that markets may have finally found a bottom after pricing in a dire economic outcome from the Fed’s campaign to raise interest rates and fight inflation.
Investors pointed to a Bank of America survey that suggested deteriorating sentiment could potentially set up a buying opportunity in the market. Meanwhile, the U.S. dollar, which recently surged to a 20-year high against the euro, softened, giving the rally more steam.
Netflix jumped 3% after saying it lost 970,000 subscribers in the second quarter, less than the two million it had previously projected. The streaming giant’s earnings per share also came in above analyst expectations.
Baker Hughes plunged 10% after disappointing second quarter earnings. The oilfield services company reported earnings of 11 cents per share, which is half what analysts were expecting.
Biogen declined more than 3% despite posting a beat in its latest quarterly report. The company warned that its revenue could take a hit from growing generic competition.
About 12% of S&P 500 companies have reported earnings so far this quarter. Of those companies, 68% have beaten analyst expectations.
Tesla and United Airlines are slated to post their latest quarterly results after the close.
Investors had been awaiting this earnings season as they search for clues on how companies are faring with inflation at levels not seen in 40 years.
On the economic front, a report from the Mortgage Bankers Association pointed to more pain for U.S. consumers as they deal with higher prices and interest rates. Mortgage demand declined more than 6% last week compared with the prior week, dropping to its lowest level in 22 years.
Treasury prices fell once again, lifting yields back to Tuesday’s 3.02%. Treasury prices and yields move in opposite directions.
Oil prices slumped 97 cents to $103.25 U.S. a barrel.
Gold prices faltered $5.60 to $1,706.00 U.S. an ounce.