US stocks rebound as investors assess Ukraine tensions

NEW YORK - US stocks finished higher on Thursday, reversing the massive losses earlier in the session, as investors assessed the geopolitical tensions over Ukraine.

The Dow Jones Industrial Average rose 92.07 points, or 0.28 percent, to 33,223.83. The S&P 500 climbed 63.20 points, or 1.50 percent, to 4,288.70. The Nasdaq Composite Index increased 436.09 points, or 3.34 percent, to 13,473.58.

Earlier in the day, all the three major indexes fell sharply with the Dow dropping more than 800 points at the lows.

Seven of the 11 primary S&P 500 sectors ended in green with technology up 3.47 percent, leading the gainers. Consumer staples slipped 1.71 percent, the worst-performing group.

The stunning market comeback came as investors closely followed updates regarding the Russia-Ukraine tensions.

US President Joe Biden announced on Thursday additional sanctions against Russia and the deployment of more troops to Europe as conflicts in Ukraine continue to evolve.

Meanwhile, Biden reiterated that "our forces are not and will not be engaged in the conflict with Russia in Ukraine, our forces are not going to Europe to fight in Ukraine but defend our NATO allies and reassure those allies in the east".

The announcement was made hours after leaders of the Group of Seven (G7) countries met virtually to coordinate their responses to Russia's military actions in Ukraine.

"I guess people felt relieved that it wasn't as bad as what they thought," Larry Benedict, CEO & founder of The Opportunistic Trader, a US market research firm, told Xinhua.

"I do think, though, that the market is not out of the woods," he said, adding "the bottom line is that you will see a lot more volatility" as the current situation is complicated by worries over rising US interest rates.

According to the CME Group's Fedwatch tool, investors are betting that there is a 100-percent chance of a rate hike at the Federal Reserve's March meeting.