Dow surges over 2,900 points, Nasdaq jumps 12%

US stock indices surged sharply as the fear gauge dropped and recession concerns eased, following US President Donald Trump’s announcement to suspend higher tariffs for 90 days on nearly all trade partners.

At the close of trading on Wednesday, the Dow Jones Industrial Average surged 7.85%, or 2,962 points, finishing at 40,608. This marked the largest daily point gain ever for the industrial index.

The S&P 500 rose by 9.5%, or 474 points, to reach 5,456, recording its best daily performance since 2008.

The Nasdaq Composite gained 12.15%, or 1,857 points, to close at 17,124, marking its biggest daily gain since January 2001 and its second-best intraday performance ever. The Nasdaq 100 also saw a rise of more than 12%, reaching 19,145.

The Stoxx Europe 600 index declined by 3.5%, closing at 469.8. The UK's FTSE 100 index dropped 2.9% to 7,679 points, the German DAX fell 3% to 19,670 points, and the French CAC 40 decreased by 3.35%, closing at 6,863 points.

Japan’s Nikkei index fell 3.95%, or 1,298 points, to close at 31,714 points, while the broader Topix index dropped 3.40%, ending at 2,349 points.

Brent crude futures for June delivery increased by 3.95%, or $2.48, to $65.30 per barrel. US Nymex crude futures for May delivery rose by 4.65%, or $2.77, to $62.35 per barrel.

As for gold, June gold futures gained about 3%, or $89.20, reaching $3,079.40 per ounce.

President Trump announced a 90-day suspension of high tariffs on dozens of trading partners, maintaining the 10% base rate he imposed last week. He also raised tariffs on China to a total of 125%.