From Dow Jones & Company:



U.S. stock markets rebounded on Thursday after a sharp selloff the previous day, with the Dow Jones Industrial Average rising 322.35 points, the S&P 500 increasing by 48.40 points, and the Nasdaq Composite jumping 185.92 points. The selloff on Wednesday was the largest one-day decline in the S&P 500 since September.

On Thursday, a round of economic data helped to stabilize the markets after the previous day’s decline. First-time jobless claims rose slightly, third-quarter gross domestic product was revised downward, and the Philadelphia Fed’s activity index fell further into negative territory, signaling a cooling economy that could lead to future rate cuts by the Federal Reserve.

Investors had previously been enthusiastic about the possibility of rate cuts by the first half of 2024, sending stocks soaring. However, concerns about the stock market’s high valuation and the potential impact of rising interest rates contributed to the recent selloff. The leading economic index also fell for the 20th consecutive month, indicating a potential recession ahead.

In company news, shares of Nio Inc. and Micron Technology Inc. rose after Nio shrugged off concerns about potential tariffs on electric vehicles from China, and Micron exceeded expectations with its financial results.

Overall, the article highlighted the market’s volatility, driven by concerns about economic data and global trade dynamics. Despite recent selloffs, investors remained cautiously optimistic, waiting for the release of the November personal consumption expenditure index and the Fed’s preferred inflation gauge.



Original: Dow Jones ends over 300 points higher as S&P 500 rebounds from biggest drop in 3 months