Dow closes more than 300 points higher as China tamps down fears of trade-war escalation

U.S. stocks posted strongest gains Thursday after Beijing indicated it wasn’t in a rush to respond to the latest round of tariffs imposed by Washington.

How did the major benchmarks faring?
The Dow Jones Industrial Average DJIA, +1.25% advanced 326.15 points, or 1.3%, to end at 26,362.25, while the S&P 500 index SPX, +1.27% rose 36.64 points, or 1.3%, to finish at 2,924.58. The Nasdaq Composite Index COMP, +1.48% added 116.51 points, or 1.5%, to close at 7,973.39.

This week’s rebound has slashed month-to-date losses for the major indexes, with the S&P 500 down and Dow down 1.9%, while the Nasdaq is off 2.5%. The S&P 500 and Dow are each less than 4% below all-time closing highs set in July, while the Nasdaq remains around 4.2% below its peak.

What drove the market?
A spokesman for China’s commerce ministry was quoted in news reports as saying the country wouldn’t immediately respond to the latest round of tariff increases announced by President Donald Trump on Friday. Those increases came after Beijing announced a round of retaliatory tariffs.