US stocks end higher as investors eye Ukraine, central banks

By Aysu Bicer

ANKARA (AA) - US stocks closed higher Thursday as traders weighed the latest developments in Russia’s war on Ukraine and decisions by major central banks to tighten monetary policy.

The US House of Representatives voted overwhelmingly Thursday to halt normal trade relations with Russia and Belarus over Moscow's war against Ukraine.

The US Federal Reserve on Wednesday signaled six more interest rate increases in 2022 after raising rates by 25 basis points between 0.25% and 0.50%.

The Bank of England (BoE) raised interest rates by 25 basis points to 0.75% to fight record inflation.

While the figure is the highest since March 2020, right before the World Health Organization (WHO) declared the coronavirus outbreak a pandemic, it marks the third consecutive meeting for bank where a rate hike was announced.

Meanwhile, US industrial production rose 0.5% in February, in line with market estimates, the Federal Reserve said Thursday.

Given these developments, the Dow Jones Industrial Average surged 417.66 points, or 1.2%, to 34,480.

The S&P 500 rose 53.81 points, or 1.2%, to 4,411 and the Nasdaq Composite gained 178.23 points, or 1.3%, to 13,614.

The VIX volatility index, known as the fear index, fell 3.7% to 25.67.

Oil climbed back above $100 a barrel amid concerns over the failure of current peace talks with Ukraine.