US stocks end higher with strong GDP figure

By Ovunc Kutlu

ISTANBUL (AA) – Major US stock indexes closed higher Thursday as a strong gross domestic product figure calmed fears of a recession in the world's largest economy.

The Dow Jones Industrial Average rose 205.57 points, or 0.61%, to finish at 33,949.41. The S&P 500 gained 44.21 points, or 1.1% to 4,060.43.

The tech-heavy Nasdaq jumped 199.06 points, or 1.76%, to end the session at 11,512.41.

The US economy expanded 2.9% in the fourth quarter of 2022, coming higher than the market estimate of 2.6%, according to the Commerce Department’s first reading released earlier.

The stronger-than-expected figure calmed fears that the Federal Reserve's rate hikes could cause a recession in the US economy this year.

The VIX volatility index, also known as the fear index, was down 1.9% at 18.71, while the 10-year US Treasury yield rose 0.9% to 3.493%.

The dollar index added 0.2% to 101.83, while the euro lost 0.2% to $1.0891 against the greenback.

Precious metals were mixed, with gold trimming 0.9% to $1,929 per ounce but silver remaining flat at $23.91.

Crude oil prices were on the rise, with global benchmark Brent crude increasing 1.6% to $87.47 per barrel and US benchmark West Texas Intermediate crude at $81.06, a 1.1% daily gain.