Dow Gains After Fed Rate Hike as Oil Prices and Yields Drop
U.S. stocks rebounded on Thursday, with the Dow Jones Industrial Average rising by 250 points (0.5%) following a pullback in oil prices and Treasury yields after the Federal Reserve's rate hike. The S&P 500 gained 1%, while the Nasdaq Composite rose 1.3%. Technology stocks led gains, including Nvidia, Amazon, Microsoft, Applied Materials, Qualcomm, and Intel. Caterpillar also saw strong performance with a more than 2% increase. The Fed raised interest rates by 25 basis points to a target range of 3.75%-4%, citing ongoing inflation concerns. The 10-year Treasury yield dropped below 5%, while oil prices fell due in part to reduced fears over potential export disruptions from a Saudi pipeline breach. UBS's chief investment officer, Mark Haefele, noted the firm remains positioned for equity gains despite near-term volatility. The Bank of England held rates steady on Thursday.
Topics: Dow Jones Fed rate hike Nasdaq Composite oil prices S&P 500 Treasury yields