The technology-heavy Nasdaq composite index rose 0.9 percent, the broad S&P 500 index rose 0.3 percent and the Dow Jones industrial average closed at plus 0.2 percent.
Not least, it was technology stocks such as Microsoft, Apple, Intel and Amazon that helped push the results up.
Both the Nasdaq and the S&P 500 posted a seventh consecutive day of rising prices, the longest winning streak since November 2021 – when the index rose eight days in a row.
— The recent movements in share prices are consistent with our view that investor pessimism has been exaggerated, says Solita Marcelli, chief investment officer at asset manager UBS Global Wealth Management, according to Bloomberg.
Began to behave
Uncertain economic prospects have recently pushed yields on US Treasuries to their highest levels in about 15 years.
In combination with the fact that the central bank (Fed) has gradually raised the key interest rate to the highest since 2001, share prices on Wall Street have suffered deep crises.
But at last week’s meeting, the Fed left interest rates unchanged for the second time in a row. In addition, there were labor market statistics and inflation figures that were interpreted positively – and government bond yields have started to behave.
Cheaper oil
On Tuesday, the interest rate on ten-year government bonds fell to just under 4.6 percent – well below the five percent mark reached at the end of October.
Another favorable factor was the oil price. North Sea oil, or Brent, fell 4 percent to $81.7 a barrel, while US WTI oil fell 4.3 percent to $77.4 a barrel.