Wall Street Rebounds: S&P 500 Posts Biggest Gain Since February

A wave of dip buying led to a significant rally in stocks following a massive $6.5 trillion selloff that had unsettled global markets. The S&P 500 saw its largest advance since February, with megacap stocks leading the gains. Hedge funds, as noted by Goldman Sachs, bought into the tech sector amid the volatility. The VIX, Wall Street’s “fear gauge,” recorded its steepest drop since 1990. This return to market stability came after a period marked by weak economic data and disappointing tech results. US Treasuries fell as demand for safe-haven assets decreased, and traders adjusted their expectations for Federal Reserve rate cuts. The S&P 500 rose 2%, driven by gains in companies like Nvidia and Walt Disney, while Treasury yields and corporate bond issuance also increased.