Stocks rally on Wednesday, with the Dow, S&P 500 and Nasdaq hitting record highs.
The Dow and broader U.S. stock market rose to record highs on Wednesday amid signs the worst of the coronvirus epidemic had passed.
All of Wall Street’s major indices finished at record territory, The Dow Jones Industrial Average (DIA) surged 275.08 points, or 0.9%, to 29,551.42.
The broad S&P 500 Index (SPY) gained 0.7% to close at 3,379.45. Ten of 11 primary sectors reported gains, with energy shares leading the pack. Communication services, consumer discretionary and industrials stocks also outperformed the benchmark average.
Meanwhile, the technology-focused Nasdaq Composite Index (QQQ) rallied 0.9% to 9,725.96.
A measure of 30-day volatility known as the CBOE VIX (VXX) declined for the sixth time in eight days, reaching its lowest level in about three weeks. The so-called “investor fear index” reached an intraday low of 13.75, where it would settle. That represented a decline of 9.4% for the day.
China’s National Health Commission reported Wednesday that the number of new coronavirus infections had declined for a second consecutive day, raising optimism that the worst of the outbreak had passed. More than 45,200 people have caught the virus, resulting in 1,118 deaths. The recovery rate has risen sharply, with 5,133 cleared of the infection.
China remains the epicenter of the pandemic, with the vast majority of cases concentrated on the mainland.
The Final Word: Coronavirus is still a global pandemic, with reported cases in almost 30 countries and territories. It remains to be seen whether Chinese authorities can stop new infections from spreading and disrupting the local economy.