Stock prices bounded higher in New York yesterday amid growing confidence that the Federal Reserve has finished raising interest rates in its battle with inflation. On Wall Street, the Dow Jones rose 227.10 points to close at 10,907.34.
The technology stocks that dominate the Nasdaq benefited most from the Fed's announcement of a quarter-point increase. The index rebounded from an early loss of as much as 100 points to finish up 101.70 at 4,711.70.
The Standard and Poor's 500 rose 37.24 to 1,493.87, while the Russell 2000 index of smaller companies rose 0.89 to 550.09.
NYSE volume totalled 1.05 billion shares at the close, compared to 912.92 million in the previous session.
"The central bank's credibility is very high right now," said Chris Conkey, chief investment officer at Evergreen Investment Management in Boston. "The news of an increase was already factored in, and there's a strong sense that the Fed is on top of things."
