US close: Stocks recover from three days of losses

dl wall street wall st new york city nyc new york stock exchange nyse dow jones industrial average nasdaq subway platform sign unsplash — Sharecast / Martin Ceralde via Unsplash

Shares on Wall Street showed signs of recovery on Wednesday, with all major indices edging higher amidst low trading volumes following three consecutive down sessions.

The Dow Jones Industrial Average increased 1.22%, closing at 39,760.08 points, while the S&P 500 rose 0.86% to reach 5,248.49 points, and the Nasdaq Composite climbed 0.51% to settle at 16,399.52 points.

In currency markets, the dollar was last up 0.19% on sterling to trade at 79.26p, while it managed gains of 0.13% against the euro to 92.48 euro cents.

However, the greenback weakened slightly against the yen, decreasing 0.03% to change hands at JPY 151.29.

“The Dow charged out of the gate this afternoon but has slowed after a couple of hours, but tech stocks have continued to struggle,” said IG chief market analyst Chris Beauchamp earlier.

“Quarter-end and Friday’s inflation reading are likely to keep any bullishness in check, but the fundamentals point towards further gains in April and beyond.”

President Xi in talks with US business leaders, Japanese yen slides

In economic news, Chinese president Xi Jinping engaged in talks with US business leaders on Wednesday, a push to enhance bilateral relations.

The talks were reportedly to encourage investment in China, with Xi expressing his view that there was no necessity for the economies of the two nations to separate.

Elsewhere, Japanese finance minister Shunichi Suzuki raised concerns about foreign exchange dynamics overnight as the yen touched its lowest levels in 34 years.

Market commentary suggested that surpassing the JPY 152 mark could precipitate a swift depreciation of the yen's value.

Trump Media continues surge, GameStop tumbles

In equity markets, Trump Media & Technology Group surged 14.19%, as the upward momentum continued from the stock’s prior day flotation.

Merck & Co added 4.96% after FDA's approval of its treatment for pulmonary arterial hypertension.

Johnson & Johnson managed a modest rise of 1.41%, after reports from the Wall Street Journal indicated that the company was engaged in discussions regarding the potential acquisition of Shockwave Medical.

On the downside, meme stock GameStop slid 15.03%.

The video game retailer's shares plummeted following a reported 19% drop in fourth-quarter sales to $1.79bn.

Reporting by Josh White for Sharecast.com.

Dow Jones - Risers

Merck & Co. Inc. (MRK) $131.75 4.96%
Intel Corp. (INTC) $43.77 4.24%
Walgreens Boots Alliance, Inc. (WBA) $21.02 2.49%
Boeing Co. (BA) $191.95 2.37%
Caterpillar Inc. (CAT) $364.65 2.32%
Goldman Sachs Group Inc. (GS) $415.25 2.23%
Apple Inc. (AAPL) $173.31 2.12%
JP Morgan Chase & Co. (JPM) $199.52 1.94%
3M Co. (MMM) $104.59 1.91%
Dow Chemical Co. (DOW) $58.14 1.87%