After dropping more than 200 points during the final hour of trading, the Dow Jones Industrial Average finished the day up 30.12 to close at 31,135.09. The Nasdaq rose 0.7%, while the S&P 500 added 0.3%.
Energy stocks were mostly up with Chevron gaining 2.4%.
Wednesday's modest gains came one day after the Dow lost nearly 4%, plummeting 1,276 points. The massive sell-off was triggered by August's consumer price index report that showed inflation rose 0.1% over the previous month. Tuesday was the worst day for all three major averages since June of 2020.
"This CPI report put cold water on a building market narrative that a potential easing in inflation data could provide the
Wednesday's rebound also came hours after the
"Prices for diesel fuel, jet fuel, chicken eggs, primary basic organic chemicals, and home heating oil also declined," the
Despite the more positive PPI report, economists warn the disappointing CPI report that sparked Tuesday's massive sell-off shows uncertainty over inflation will continue to dominate
"Tuesday's selloff is a reminder that a sustained rally is likely to require clear evidence that inflation is on a downward trend,"
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