NEW YORK (AP) — Stocks shook off a shaky start and gained ground in afternoon trading on Wall Street on Wednesday after a strong selloff in tech stocks a day earlier. This is the latest turmoil for the market as traders prepare for more earnings reports from big US companies this week.

The S&P 500 was up 1.3% at 1:58 p.m. EST, after swinging between gains and losses early on. The Nasdaq rose 1.2% and the Dow Jones Industrial Average rose 411 points, or 1.2%, to 33,651.

It’s been a volatile week for the major indices, which ended strong on Monday night and slumped on Tuesday.

Tech stocks were the main driver of most of the week’s ups and downs. Many companies in the industry have expensive stock values ​​which tend to drive the market up or down with more force.

Big Tech companies posted some of the biggest gains on Wednesday. Software giant Microsoft rose 7% after reporting strong earnings for its latest quarter. Payment processing giant Visa jumped 8.4% after reporting a surge in profits fueled by a surge in spending on the company’s namesake credit and debit card network.

The major communication companies also publish their latest results. Alphabet, Google’s parent company, fell 2.6%, after posting its weakest quarterly revenue growth since 2020.

Facebook parent Meta Platforms is on deck to report its results later Wednesday. Social media company Twitter and iPhone maker Apple will release their results on Thursday.

Investors also focused on earnings from industrial companies and various retailers. Boeing fell 8.6% after announcing a loss much worse than Wall Street expected. Chipotle rose 4% after posting strong financial results.

Internet retail giant Amazon will release its results on Thursday.

The latest set of results comes amid lingering concerns about rising inflation and central bank plans to raise interest rates to blunt the impact of rising costs on businesses and consumers. consumers. Investors are watching closely to see how companies have fared in the face of supply chain issues and rising costs while gauging how consumers are coping with higher prices for everything from food to clothes and clothing. gasoline.

“Everyone is facing these kinds of risks that seem to get bigger as the days and months go by,” said Katie Nixon, chief investment officer of Northern Trust Wealth Management.

The US Federal Reserve is expected to hike rates aggressively as it steps up its fight against inflation. The Fed chairman indicated that the central bank may raise short-term interest rates to double the usual amount in upcoming meetings, starting next week. It has already raised its key overnight rate once, the first such hike since 2018.

Bond yields generally rose throughout the year as investors braced for higher rates. The 10-year Treasury yield rose to 2.79% from 2.77% on Tuesday evening.

Wall Street remains focused on the inflation path amid lingering threats from Russia’s war on Ukraine and the virus pandemic.

“We just keep moving more areas of uncertainty onto the uncertainty pile,” Nixon said.

Natural gas prices jumped 24% in the past day in Europe and the euro weakened after Russia announced it would cut supplies to Poland and Bulgaria. Natural gas and oil prices had already risen as the pandemic subsided and demand increased, but the Russian invasion of Ukraine added to the price hike. Crude oil and natural gas prices have surged so far in 2022, making gasoline and heating more expensive for consumers.

Strict lockdown measures in China have also added to concerns about slowing economic growth due to damage to the world’s second-largest economy. The flow of industrial goods has been disrupted by the suspension of access to Shanghai, home to the world’s busiest port, and other industrial cities including Changchun and Jilin in northeast China.

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Veiga reported from Los Angeles.

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