It was updated on August 3, 2022.
The stock market rallied on Wednesday, reversing losses from earlier in the week, thanks to stronger-than- expected economic data which helped offset recession fears, even as the Federal Reserve continues to promise more rate hikes to bring down inflation.
The markets surged higher because of renewed optimism.
The S&P 500 was up 1.6% and the tech-laden Nasdaq was up 2.5% after the stock market rebounded from back-to-back losses.
The ISM non-manufacturing purchasing managers index rose to a reading of 56.7 in July, above the previous month's reading and 54 expected by economists.
The Fed will keep hiking rates to bring down inflation and the U.S. economy is not in a recession right now, according to the president of the Fed.
Moderna's shares surged after the vaccine maker reported strong quarterly profits and announced a $3 billion share buy-back.
Despite the company cutting 23% of its workforce, shares of popular stock trading app Robinhood jumped 13% thanks to optimism from Wall Street analysts.
Tech stocks led the market higher on Wednesday, with the likes of Apple, Amazon andAlphabet all rising by 2% or more.
Even though Treasury yields continue to surge for a second day in a row, the stock market is still rising. All of the S&P 500 sectors finished higher with the exception of energy, which finished lower.
On Wednesday, the shares of Hong Kong-based AMTD Digital fell by half. The company has little revenue but is worth more than $200 billion, making it the perfect meme stock.
Concerns about rising U.S.-China tensions were taken off the table by investors. Nancy Pelosi's visit to Taiwan was condemned by China, which claims the island as its own.
There are more Fed officials warning that the market is getting ahead of itself.
The stock market fell 400 points after Pelosi's visit to Taiwan.
The new perfect meme stock lost $70 billion in value in one day.
Oil prices plunge 5% after the best month of the year for stocks.
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