An hr before the close Wednesday, the DJIA was up 0.2%, the NAS Comp rose 0.4% after erasing losses of over 0.7%, the S&P 500 gained 0.4%, and the Russell 2000 reversed its earlier losses to a 0.1% gainer. Data showed volume was lower on the NAS and on the NYSE Vs the same time Tuesday.
Then the Doves began to fly and stocks rose across the board after the Fed announced that it will speed up its exit from the extraordinary policies it adopted early in the VirusCasedemic. Asset purchases will now decrease by $30 billion per month and could come to an end in Y 2022.
This was a dovish surprise divergence from the Fed’s hawkish plans as of 3 September when it announced it would gradually taper asset purchases from the $120-B monthly pace.
On the close Wednesday
DJIA +383.38 at 35927.56, NAS Comp +327.94 at 15565.57, S&P 500 +75.75 at 4709.84
The S&P 500 rallied 1.6%, the DJIA (+1.1%), NAS Comp (+2.2%), and Russell 2000 (+1.7%) also closed sharply higher.
- S&P 500 +25.4% YTD
- NAS Comp +20.8% YTD
- DJIA +17.4% YTD
- Russell 2000 +11.2% YTD
Have a prosperous day, Keep the Faith!