- Recovering oil prices help energy shares gain traction.
- Treasury Secretary Mnuchin expects economy to open by late summer.
- CBOE Volatiliy Index drops more than 5% to reflect the upbeat market mood.
Wall Street’s main indexes started the day decisively higher on Wednesday boosted by a strong rebound in energy shares and positive market sentiment. The CBOE Volatility Index, Wall Street’s fear gauge, is down 5.5% on the day to confirm the risk-on atmosphere.
Energy shares lead Wednesday’s rally
Meanwhile, US Treasury Secretary Mnuchin said that “most if not all” of the economy was expected to reopen by late summer. Mnuchin further added that they need to spend whatever it takes to win the war against coronavirus.As of writing, the Dow Jones Industrial Average was yo 1.73% on the day while the Nasdaq Composite and the S&P 500 were gaining 2.1% and 1.7%, respectively.
Among the major S&P 500 sectors, the Energy Index, which suffered heavy losses on Monday and Tuesday amid collapsing oil prices, is up nearly 3% as the top-performer.
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