NEW YORK, N.Y. (AP) — U.S. stocks surrendered some of their early gains in midday trading Wednesday after slumping for six straight days amid concern that growth in China was slowing more quickly than previously thought.
The three major U.S. indexes dropped six days in a row heading into Wednesday. That’s the longest market slide in more than three years. The Dow has fallen about 1,900 points over that period, while the slump wiped more than $2 trillion off the value of S&P 500 companies.
Wednesday was the second day that stocks staged a morning rally. A rebound on Tuesday faded in the final minutes of trading, with the Dow closing more than 200 points lower after having been up more than 400 earlier in the day.
The Dow Jones industrial average rose 189 points, or 1.2 percent, to 15,855 as of 12:13 p.m. Eastern time. The Standard & Poor’s 500 index gained 22 points, or 1.2 percent, to 1,889. The Nasdaq composite added 53 points, or 1.2 percent, to 4,560.
Markets have been volatile since China decided to weaken its currency earlier this month. Investors interpreted the move as an attempt to bolster a sagging economy.
Traders are also waiting for clarity from the Federal Reserve, which has signaled it could begin raising its key interest rate from near zero for the first time in nearly a decade later as this year. The Fed isn’t expected to deliver a policy update until it wraps up a meeting of policymakers in mid-September.
Investors were also following the latest corporate deal and earnings news. Technology stocks were among the biggest gainers.