The Dow Jones Industrials regained 435.98 points, or 1.4%, to conclude the session at 31,581.28
The S&P 500 regained 71.69 points, or 1.8%. to 3,979.87
The NASDAQ Composite ended its seven-day losing streak, grabbing 246.99 points, or 2.1%, to close the session at 11,791.90.
Stocks rallied as Fed Vice Chair Lael Brainard reaffirmed that the central bank would do what it takes to stifle inflation, while also noting the risks of going too far. Many traders decided to focus on this latter point from her speech.
Markets have been hoping that the Fed would start to hand out smaller increases starting in September, but are now pricing in an 86% chance of a 0.75-percentage-point hike.
Shares of Twitter jumped 6.7% Wednesday morning after a Delaware court denied Elon Musk’s request to delay the trial over his attempt to back out of buying the company for $44 billion. The trial is expected to begin Oct. 17.
Shares of many well-known airlines rose Wednesday after United Airlines raised its third-quarter sales forecast and reported strong demand, despite the end to the peak summer travel season, helping lift airline shares. United rallied 5% on the day.
Treasury prices withered, raising yields to 3.27% from Tuesday’s 3.34%. Treasury prices and yields move in opposite direction.
Oil prices dropped $4.76 to $82.12 U.S. a barrel.
Gold prices regained $16.00 to $1,728.90 U.S. an ounce.