Encouraged by strong corporate earnings reports and stability in the value of the dollar, the Dow soared in the final hour, triggering curbs on computer-program trading.
It gained some 20 points in the last five minutes of trading, ending up 70.90 at 3,846.73. It was the biggest rise since 5 April, and brought the battered US market back to where it stood on 23 March.
The bond market also turned up late in the day, with the US 30-year long bond rising almost a full point, forcing down its yield to 7.32 per cent.
Traders were surprised by a sharp drop in US durable goods orders in July, which fell 4.2 per cent after rising by a revised 1.2 per cent in June. It was the steepest fall in two-and-a-half years. All categories of goods experienced falling orders.Reuse content