The U.S. gross domestic product fell at a 0.9% annualized rate in the second quarter. Moreover, given the sky-high inflation, consecutive interest rate hikes, and recessionary pressures, stock market volatility is rife. This is evident as the CBOE Volatility Index (^VIX) is up about 28% this year.
However, the S&P 500 surged 1.6% in Wednesday’s trading session, closing at an almost two-month high. Moreover, the Dow Jones Industrial Average rose 1.3%. The stock market bounced on an upbeat July report of U.S. services sector growth.
