Tuesday’s stock market rebound was led by technology companies, as the market more than made up for a little reversal earlier in the week.

The S&P 500 gained 1.1%, with more than 70% of the equities in the benchmark index rising. The Dow Jones Industrial Average gained 0.7%, while the Nasdaq Composite gained 2%.

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Bond yields rose strongly for the second day in a row, suggesting predictions of more aggressive interest rate rises by the Federal Reserve as the central bank attempts to tamp down the strongest inflation in decades. The 10-year Treasury yield increased to 2.38% from 2.30% late Monday. The yield, which determines mortgage and other consumer loan interest rates, was 2.14% late Friday.

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The rise in bond yields and stocks comes a day after Federal Reserve Chair Jerome Powell said the central bank was prepared to move more aggressively in raising interest rates in its fight against inflation if it needs to do so. Powell said the Fed would raise its benchmark short-term interest rate by a half-point at multiple Fed meetings, if necessary.

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The S&P 500 rose 50.43 points to 4,511.61, and the Dow gained 254.47 points to 34,807.46. The Nasdaq rose 270.36 points to 14,108.82. Smaller company stocks also bounced back. The Russell 2000 index added 22.41 points, or 1.1%, to 2,088.34.

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Concerns about rising inflation and slower economic growth have been weighing down stocks so far in 2022, but a rally last week helped trim some of the benchmark S&P 500′s losses for the year. The index is now down 5.3%.

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Markets have been choppy as Wall Street adjusts to slower economic growth now that federal spending on various stimulus measures has faded away. Last Wednesday, the central bank announced a quarter-point rate hike, its first interest rate increase since 2018. The Fed hasn’t raised its benchmark rate by a half-point since May 2000.

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Technology and communications stocks drove a big share of the gains in the S&P 500 Tuesday, as did companies that rely on consumer spending. Apple rose 2.1% and Twitter gained 2.6%. Nike added 2.2% after reporting surprisingly good third-quarter financial results. Energy stocks slipped as oil prices declined.

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Banks helped send the market higher as bond yields continued rising. Higher bond yields allow banks to charge more lucrative interest on loans. Bank of America rose 3.1% and JPMorgan Chase gained 2.1%.

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The price of U.S. benchmark crude oil fell 0.3% to settle at $111.76 per barrel, while Brent, the international standard, slipped 0.1% to settle at $115.48 per barrel. European markets rose broadly, while Asian markets closed higher overnight.