Economics
Relief Rally Spreads Across Markets as Dollar Gains on U.S. GDP
- GDP report helps S&P 500 cap best two-day gain since 2009
- Sudden paring in U.S. stocks shows markets still vulnerable
Is This Rally for Real or Temporary?
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A relief rally swept around the globe, with the Dow Jones Industrial Average capping its biggest two-day gain since 2008 and Chinese shares snapping a five-day tumble. Oil jumped the most in more than six years after data showed the U.S. economy grew more than forecast in the second quarter.
American stocks briefly spiked lower in late afternoon trading, as the Standard & Poor’s 500 Index cut an advance of as much as 2.5 percent to less than 0.5 percent before reversing course and rallying again, indicating markets are still vulnerable to sudden swings.