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Supported by favorable results from Target and Lowe's retailers, stocks closed higher on Wednesday after similar difficulties a day earlier.
The Dow Jones Industrial Average finished 240 points, 0.93% higher, while the S & P 500 index ended up 0.82% and the Nasdaq, very technology-driven, rose 0.9%.
The gains come a week after the Dow Jones lost 800 points, or more than 3%, the worst day of losses in the year. The market, however, rebounded with a rise of 300 points at the end of the week, but shares ended overall on Friday.
Last week 's market volatility came after the Trump administration postponed tariffs on some of the $ 300 billion of goods shipped from China to 10 percent and excluded others. While the Dow Jones index had risen after the president had announced remedies for products such as electronics, toys, some shoes and some clothing, he experienced a subsidence a day after the bond market triggered an alarm signal regarding a potential recession.
The bond market again briefly issued a recession warning signal on Wednesday.
President Trump has sought to downplay the possibility of an economic slowdown, as a booming economy would be a critical component of the success of his reelection in 2020. To ensure continued economic expansion, the president request The Federal Reserve, while making a gesture with Fed Chairman Jerome Powell, lowered its key rate by one percentage point and eventually began quantitative easing.
The president continued his attacks on Powell, his choice to succeed Janet Yellen last year on Wednesday, calling him "a golfer who can not putter, has no contact".
"Great American growth is what it does, BIG CUT – but do not count on it!" Said Trump on Twitter. "Until now, he said that it was wrong, and only let us down."
….. We are competing with many countries with much lower interest rates and we should be below them. Yesterday, "the highest dollar in US history." No inflation. Wake up Federal Reserve. Such growth potential, almost like never before!
– Donald J. Trump (@realDonaldTrump)
August 21, 2019
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