Stocks around the world are clawing higher on Wednesday, and the S&P 500 climbed toward its first gain of what’s been a dismal week.
Even the oil market gained ground. Prices for crude have been turned upside down because of how much extra oil is sloshing around following a collapse in demand. After zig zagging overnight, U.S. oil prices jumped more than 20% after President Donald Trump threatened the destruction of any Iranian gunboats that harass U.S. Navy ships, raising the possibility of a drop-off in oil supplies.
The S&P 500 was up 1.6% after the first half hour of trading, following milder gains in Europe and Asia. Treasury yields also inched higher in a sign of a bit less pessimism in the market.
U.S. stocks, though, are still down about 3% for the week as a rally that had been carrying the market since late March threatens to lose steam.
The Dow Jones Industrial Average was up 367 points, or 1.6%, to 23,386, and the Nasdaq was up 1.9%.
Energy stocks led the market higher, riding the ripple of strengthening oil prices. Halliburton jumped 10% in early trading, while Schlumberger and Apache added more than 9%. All three, though, remain down more than 60% for the year so far
A barrel of U.S. oil to be delivered in June rose $2.86, or 24.7%, to $14.43. It had been close to flat earlier in the morning, before Trump’s tweet. The big gain, though, means it’s recovered just a fraction of its steep losses this year, particularly over the last week. It was at nearly $30 at the start of last week and $60 at the beginning of the year.
Other companies that have been big losers due to the coroanvirus pandemic also rose after offering some slight hints of hope. Chipotle Mexican Grill, for example, said that a key sales figure plunged 16% in March on widespread stay-at-home orders.