Stocks Opened Higher on Yellen’s Rate Comments

U.S. stocks opened higher on Wednesday, after Federal Reserve Chair Janet Yellen said rates hikes would be gradual and will not have to rise all that much further to reach neutral level. The Dow Jones Industrial Average lately rose 147.30 points, or 0.69%, to 21,556.37. The S&P 500 added 16.93 points, or 0.70%, to 2,442.46 . The Nasdaq Composite gained 47.77 points, or 0.77%, to 6,241.07.

The U.S. economy is gathering strength as consumer spending, business investment and global demand for American products rebound from a weak spell at the beginning of the year, likely warranting further gradual increases in the Federal Reserve’s benchmark interest rate, Fed Chair Janet L. Yellen plans to tell Congress Wednesday morning.

OPEC expects demand for its oil to fall next year as U.S. shale continues to be a formidable force in the global oil markets. According to its monthly oil market report out Wednesday, OPEC sees 2018 demand for its oil at 32.2 million barrels per day, down by 60,000 bpd from this year. U.S. crude jumped 2.35% to $46.10 per barrel. Brent crude rose 1.9% to $48.42 per barrel.

On Wednesday morning, Amazon announced its Prime Day sales this year surpassed Black Friday and Cyber Monday altogether, with the event growing by more than 60 percent from 2016.