NEW YORK, April 23 (Xinhua) -- U.S. stocks extended gains on Wednesday, as U.S. President Donald Trump struck a more conciliatory tone on both Federal Reserve Chair Jerome Powell and tariffs on Chinese goods, soothing investor fears that had weighed on markets in recent sessions.
The Dow Jones Industrial Average rose 419.59 points, or 1.07 percent, to 39,606.57. The S&P 500 added 88.10 points, or 1.67 percent, to 5,375.86. The Nasdaq Composite Index increased by 407.63 points, or 2.50 percent, to 16,708.05.
Nine of the 11 primary S&P 500 sectors ended in green, with technology and consumer discretionary leading the gainers by going up 2.92 percent and 2.76 percent, respectively. Meanwhile, consumer staples and energy dropped 0.42 percent and 0.27 percent, respectively.
Later Tuesday, Trump told reporters he had "no intention" of firing Powell, addressing mounting concerns about the Fed's independence after a string of public criticisms. Meanwhile, he also signaled that the steep tariffs on Chinese imports may not be permanent, saying he expected them to come down "substantially."
The stocks surged in the trading day before trimming gains, as U.S. Treasury Secretary Scott Bessent clarified that "there has been no unilateral offer from the president to deescalate" the trade battle with China. Still, investors largely welcomed the shift in tone as a sign of potential policy moderation ahead.
Among notable movers, Tesla jumped 5.33 percent, rebounding despite missing quarterly earnings expectations. The rise came after Tesla CEO Elon Musk said he would "significantly" reduce his time spent on the Department of Government Efficiency, to focus on core business execution.
The day's rebound came after a turbulent week marked by harsh rhetoric, earnings jitters, and policy uncertainty. "That's what the market has been begging for - even just a hint of cooling down in the back and forth between the U.S. and China when it comes to trade," said Keith Buchanan, portfolio manager at Globalt Investments. "The market is relieved, of course - the worst talk is hopefully behind us - but we're still not at the end game."
Meanwhile, according to data released by the U.S. Census Bureau on Wednesday, sales of newly built homes in the country rose by 7.4 percent in March, reaching a seasonally adjusted annual rate of 724,000 units - up from 676,000 in February. The figure easily surpassed Bloomberg's forecast of 685,000. Housing inventory also edged higher, with 503,000 homes available for sale at the end of March.
