On Tuesday, August 6, U.S. stock markets closed higher, with the S&P 500 and Nasdaq gaining as investors returned after a major sell-off. This rebound was driven by Federal Reserve officials’ comments easing recession fears.

Central bank policymakers downplayed concerns that weak July job data signals a recession but suggested that interest rate cuts might be needed to avoid one.

In economic data, the U.S. trade deficit in June narrowed to $73.1 billion from $75 billion in May, though analysts had expected a $72.5 billion gap. Exports rose by 1.5% to $265.9 billion.

All major sectors in the S&P 500 closed higher, with real estate and financials seeing the largest gains.

The Dow Jones Industrial Average was up 0.76% and closed at 38,997.66. The S&P 500 gained 1.04%, ending the day at 5,240.03, and the Nasdaq Composite rose 1.03%, finishing the session at 16,366.86.

Asian Markets Today

Eurozone at 06:15 AM ET

• The European STOXX 50 index gained 1.68%.
• Germany’s DAX rose 1.5%8.
• France’s CAC was up 1.55%.
• U.K.’s FTSE 100 traded higher by 0.97%.

Commodities at 06:15 AM ET

US Futures at 06:15 AM ET

Dow futures were up 0.82%, S&P 500 futures gained 1.13%, and Nasdaq 100 Futures rose 1.35%.

Forex at 06:15 AM ET

• The U.S. dollar index gained 0.31% to 103.29, the USD/JPY rose 2.01% to 147.20, and the USD/AUD declined 0.71% to 1.5231.
• The U.S. dollar rose Wednesday as the yen slumped after the Bank of Japan signaled no rate hikes. Adjusted Fed rate cut expectations and market stress influenced the dollar’s rebound.

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