Stocks halt selloff, Treasury yields spike
By Sinead Carew
NEW YORK (Reuters) - U.S. shares rebounded sharply on Wednesday in the S&P's 500's best day in more than a month, while longer-dated U.S. Treasury yields rose to their highest in more than seven months, tracking a selloff in German Bunds.
Oil prices rallied for a second day, helping U.S. equities along with hopes for strong U.S. data and progress on Greece's debt crisis.
"It’s a back and forth tug of war between investors in this trading range," said Rick Meckler, president of investment firm LibertyView Capital Management in Jersey City, New Jersey
"You've had a fairly decent pullback in the days up to now. You were starting to get an inflection point where investors were looking to get in."
The Dow Jones industrial average .DJI rose 236.36 points, or 1.33 percent, to 18,000.4, the S&P 500 .SPX gained 25.05 points, or 1.2 percent, to 2,105.2 and the Nasdaq Composite .IXIC added 62.82 points, or 1.25 percent, to 5,076.69.
If U.S. retail and consumer data due on Thursday and Friday is impressive, it would help the case for a U.S. interest rate hike sometime this year. Expectations for strong data helped the benchmark S&P 500's .SPX financial sector, one of the S&P's best-performing sectors, said Peter Kenny, chief market strategist at Clearpool Group in New York.
Financial stocks .SPSY gained 1.4 percent, while the S&P energy sector index .SPNY gained 1.2 percent.
Leaders of Germany, France and the European Commission told Greece on Wednesday it must reach a deal with its creditors and stop seeking softer terms to unlock desperately needed funds. Continued...