Wall Street closes higher as Fed soothes recovery worries

The Dow Jones Industrial Average rose 157.62 points, or 0.62%, to 25,763.16, the S&P 500 gained 25.28 points, or 0.83%, to 3,066.59 and the Nasdaq Composite added 137.22 points, or 1.43%, to 9,726.02. All 11 major sectors of the S&P 500 closed in the black, led by financials and consumer staples.

NEW YORK: Wall Street closed higher on Monday following an announcement by the U.S. Federal Reserve regarding its corporate bond purchasing program that boosted investor confidence, which had been wavering amid a spike in new COVID-19 cases.

All three major U.S. stock indexes reversed losses in afternoon trading, following the Fed's decision to apply an indexing approach to its secondary market corporate credit facility to create a more diversified portfolio.