US stocks rise as volatile trading continues

New York, May 21 (IANS) US stocks traded on an upbeat note on Wednesday, following a noticeable drop in the previous session, as volatile trading continued on Wall Street.

At midday, the Dow Jones Industrial Average jumped 407.19 points, or 1.68 per cent, to 24,614.05. The S&P 500 climbed 54.80 points, or 1.87 per cent, to 2,977.74. The Nasdaq Composite Index rose 201.52 points, or 2.19 per cent, to 9,386.62, Xinhua reported.

All the 11 primary S&P 500 sectors gained, with energy and financials up 3.3 per cent and 3 per cent, respectively, outpacing the rest.

The moves followed a downbeat session with the Dow closing down 390 points.

Wall Street digested testimony from US Treasury Secretary Steven Mnuchin and Federal Reserve Chairman Jerome Powell on Tuesday. Both of them described the economy in gloomy terms before the Senate while offering contrasting views about how to fix it.

Mnuchin called for a rapid reopening, warning there is “risk of permanent damage” if states delay.

Powell struck a more cautious tone, stressing the importance of getting the virus under control. He reiterated the central bank’s commitment to “using our full range of tools to support the economy in this challenging time even as we recognize that these actions are only a part of a broader public-sector response.”

As of midday Wednesday, more than 1.53 million confirmed COVID-19 cases have been reported in the United States, with over 92,000 deaths, according to the Center for Systems Science and Engineering at Johns Hopkins University.

–IANS

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