Feb. 24 (UPI) — The Dow Jones Industrial Average reversed early losses to close at a record high Wednesday.
The blue-chip index erased a 110-point loss to end the day up 424.51 points, or 1.35%, to close at a record 31,961.86. The S&P 500 gained 1.1% after falling 0.6% at its session low, while the Nasdaq Composite erased a 1.3% loss and ended the day up 0.99%.
Boeing stock rose 8.16% to help lead the Dow higher, while Chevron, Goldman Sachs and Visa all rose more than 3%.
Markets also reacted to the 10-year Treasury yield as tech stocks dropped after it surpassed 1.4%, rising to its highest level since February 2020 but yields dropped from their high Federal Reserve Chair Jerome Powell sought to ease concerns over inflation as he testified before the House financial services committee.
Wednesday’s reversals came on the heels of the Dow increasing 0.05% and the S&P 500 gaining 0.13% after erasing earlier losses following testimony by Powell on Tuesday.
“Volatility along the way is to be expected and higher rates will continue to drive more risk down into sectors and factors, but … dips in the equity market are meant to be bought in this environment,” Christopher Metli, a quantitative and derivative strategist at Morgan Stanley said in a note.
After a rapid rise earlier this month as traders from Reddit targeted short-sold stocks, GameStop shares increased 106% on Wednesday after the company announced that CFO Jim Bell would resign effective March 26.
In a news release, the company said it had initiated a search for a new CFO capable and qualified to “help accelerate GameStop’s transformation,” adding that Diana Jajeh, currently senior vice president and chief accounting officer, will be appointed CFO is a replacement is not found before his departure.