by Devik Jain and Noel Randewich
(Reuters) – The New York Stock Exchange ended sharply higher on Wednesday after U.S. Federal Reserve Chairman Jerome Powell said the central bank is likely to raise interest rates less this month. than investors feared.
The Dow Jones index gained 1.79% to 33,891.35 points.
The broader S&P-500 gained 1.86% to 4,386.54 points.
The Nasdaq Composite advanced for its part by 1.62% to 13,752.02 points.
Jerome Powell’s comments, made during a hearing before the House Financial Services Committee, helped ease investor concerns as Russia’s invasion of Ukraine rattled markets.
The Fed boss said he was rather in favor of a 25 basis point hike in the key rate, a less aggressive option than some feared.
Now traders are pricing in a 95% chance that the Fed will hike 25 basis points in March.
All major sectors of the S&P-500 ended in the green, with the financial sector rebounding, rising 2.6%, after two consecutive sessions of decline.
Stocks in the energy sector resumed their progression, against a background of a rise in the barrel of Brent to a record in eight years while the sanctions imposed by the West against Russia disrupted Russian deliveries.
Apple rose 2.1% on the heels of announcing a product launch on March 8. The Apple firm is expected to present a low-cost version of its iPhone 5G.
(French version Jean Terzian)
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