The boss of the Fed once again reassured the rates and the New York Stock Exchange, which had started badly on Wednesday, ended up sharply, the Dow Jones index posting a new record.
According to final results at the close, the Dow Jones climbed 1.35% to 31,961.86 points, a new high.
The Nasdaq, with strong technological coloring, rose 0.99% to 13,597.97 points and the S&P 500, more representative of the American market, gained 1.14% to 3,925.43 points.
US Central Bank President Jerome Powell reiterated Wednesday, on the second day of his hearing with US parliamentarians, his intention to keep interest rates low, in a range of 0% to 0.25% .
These remarks were likely to reassure companies that need to borrow large amounts at low cost to finance their growth.
The boss of the Fed “also said that rising bond rates were less a sign of inflation than that of good prospects for growth in the second half of the year,” said Peter Cardillo, of Spartan Capital Securities.
The yield on 10-year Treasury bills, which had risen above 1.43% in the morning, fell back to 1.38% after the intervention of Jerome Powell.
The prospect of a new vaccine, that of Johnson & Johnson (+ 1.34%) available soon, and that of the adoption of the economic support plan of 1.900 billion dollars, also played in the rebound of the market, a indicated National Art Hogan.
At least three million doses of Johnson & Johnson’s vaccine against Covid-19 are ready to be distributed “next week” in the United States, if it is urgently authorized in the coming days as expected, the government announced American Wednesday.
The Dow Jones was dragged down by increases in company securities which are expected to rebound on the back of growth. This was the case with Boeing (+ 8.12%) despite its setbacks after the spectacular incident of one of its models flying over Denver (Colorado) last weekend.
Caterpillar construction machinery (+ 1.04%) and John Deere agricultural (+ 2.45%) also benefited, as did oil stocks like Chevron (+ 3.69%) as oil prices hit a low. new high in over a year on Wednesday.
Banks, which benefit from the low rates at which they borrow, while charging higher rates since the rise in bond yields, also climbed like Goldman Sachs (+ 3.58%) or Wells Fargo (+3, 10%).
The video game retailer GameStop, at the heart of the stock market saga at the start of the year, was again the target of a speculative fever and its title soared by more than 100% to 91.71 dollars.
This skyrocketing came the day after the announcement of the resignation of its financial manager.