NEW YORK, New York - U.S, stocks made solid gains on Wednesday, as investors and traders bet on a swift recovery from the economic lockdowns that have swept the world.
"We have way lower interest rates for the foreseeable future, so that effects the multiple that we have to buy discounted stocks at," Kim Forrest, chief investment officer at Bokeh Capital Partners in Pittsburgh told the Reuters Thomson news agency Wednesday. "And if you give yourself a little bit more time, is it crazy to think everything is going to come back in two years and you are going to hold it three to five years?"
At the close of trading Wednesday, the Dow Jones Industrial Average was ahead 369.04 points, or 1.52%, at 24,575.9.
The Standard and Poor's 500 added 48.67 points, or 1.67%, to 2,971.61.
The Nasdaq Composite advanced 190.67 points, or 2.08%, to 9,375.78.
On foreign exchange markets the commodity bloc currencies rose sharply. The Canadian dollar shot up to 1.3901.
The Australian dollar rose strongly to 0.6595, while the New Zealand dollar was in demand at 0.6149.
The euro too continued its recent strong run, closing out the day in New York Wednesday at around 1.0979. The British pound was listless at 1.2238, as was the Japanese yen at 107.60.
The Swiss franc firmed to 0.9649.
In Europe the German Dax rose by 1.34%. The Paris-based CAC 40 was up 0.87%.
In London, the FTSE 100 rose 1.08%.
On Asian markets, in Japan the Nikkei 225 added 161.70 points or 0.79% to 20,595.15.
The Hong Kong Hang Seng rose 11.82 points or 0.05% to 24,399.95.
The Australian All Ordinaries climbed 21.30 points or 0.38% to 5,680.10.
China's Shanghai Composite, going against the trend, slipped 14.84 points or 0.51% to 2,883.74.