NEW YORK – Stocks surged on Wall Street Wednesday, buoyed by an encouraging inflation report and strong earnings from some of the nation’s largest banks.
The Dow Jones Industrial Average climbed 703 points, or 1.65%, to close at 43,222, while the S&P 500 rose 1.83%. The tech-heavy Nasdaq Composite outperformed, ending the day up 2.45%.
The rally marked a continuation of the positive momentum for the broader market, with all three major indices now showing gains since the start of 2025.
CNN reported financial analysts pointed to major banks’ impressive fourth-quarter earnings reports as a key factor in the market’s optimism. The strong performance of financial institutions has signaled overall confidence in the stability of the most prominent players in the financial sector.
JPMorgan Chase CEO Jamie Dimon attributed the upbeat market sentiment to growing business optimism, saying, “Businesses are more optimistic about the economy, and they are encouraged by expectations for a more pro-growth agenda.” The rally comes as the nation braces for the incoming Trump administration, with many anticipating a shift toward more business-friendly policies.
Overall, the day’s market gains reflect a cautiously optimistic outlook for the economy in 2025, with both inflation and corporate earnings showing positive signs of strength.
