US stock indices gained ground as concerns recede about the US banking sector following the collapse of the Silicon Valley Bank, and after US inflation data.
Inflation Slowdown
US inflation slowed down in February to one and a half year lows as expected.
US consumer prices rose 6% y/y in February, matching analysts' expectations and slowing down from 6.4% in January.
Core prices, excluding food and energy, rose 5.5%, matching expectations and slowing down from 5.6% in January.
US Banking
The fallout of the US bank's collapse continue to reverberate in the US and global markets, causing disruptions.
Investors are worried the crisis might cause a US recession, especially as the Federal Reserve continues to tightening policies aggressively.
US President Joe Biden attempted to reassure the markets, calling for confidence in the banking system following the Silicon Valley Bank collapse, the second largest banking collapse since 2008.
Biden asserted consumers deposits are always protected, calling for small companies nationwide to deposit cash into banks to support liquidity.
US Yields
US two-year treasury yields rose by 31 basis points to 4.342% as of 5:57 GMT, marking the biggest daily gain since 2009.
Such yields marked the biggest fall since 1987 yesterday on concerns about the spread of bank failures following the collapse of the SVB.
US 10-year treasury yields rose to 3.643%, while 30-year yields rose to 3.747%.
Dow Jones rose 1.5%, or 480 points to 32,300, while S&P 5090 rose 2%, or 78 points, to 3,934, while NASDAQ added 2.3%, or 262 points to 11,451.