All the 11 major S&P sectors advanced in early trading, with technology and consumer discretionary stocks rising 2.7% and 3.3%, respectively.
Growth stocks such as Apple Inc, Google-owner Alphabet Inc, Amazon.com and Nvidia Corp gained between 2.2% and 6.5% after falling for most of the week.
Wall Street has gyrated wildly this week on fears that the Ukraine war, surging inflation, COVID-19 lockdowns in China and hawkish Federal Reserve policy moves could spark a global economic slowdown.
Fed Chair Jerome Powell repeated on Thursday his expectation that the central bank will raise interest rates by half a percentage point at each of its next two policy meetings while pledging “we’re prepared to do more” if data turns the wrong way.
Money markets are pricing a 73% chance of a 75 basis point hike by the Fed in June.
The S&P 500 index on Thursday came within striking distance of confirming a bear market after swooning from its all-time high reached on Jan. 3. The tech-heavy Nasdaq is already in a bear market, down 25.3% from its record close in November last year.
“I think the S&P 500 nearing bear territory is a signal to buy,” said Sylvia Jablonski, CEO at Defiance ETFs. “We haven’t seen the level of dip buying that we have historically, but I suspect that’s going to change in the near term.”
At 10:12 a.m. ET, the Dow Jones Industrial Average was up 376.41 points, or 1.19%, at 32,106.71, the S&P 500 was up 73.53 points, or 1.87%, at 4,003.61, and the Nasdaq Composite was up 333.48 points, or 2.93%, at 11,704.44.
Losses this week have put the benchmark S&P 500 and the Nasdaq on course for their sixth straight weekly loss, while the blue-chip Dow was looking at its seventh consecutive weekly fall.
Twitter Inc was among the biggest losers on Friday, slumping 10% after Tesla chief Elon Musk said the $44-billion deal to buy the micro-blogging platform was “temporarily on hold” even as he said he is committed to the acquisition.
Tesla Inc jumped 4.6%.
Robinhood Markets Inc surged 21% after Samuel Bankman-Fried, the chief executive and founder of cryptocurrency exchange FTX, revealed a 7.6% stake in the brokerage app company.
Occidental Petroleum climbed 6.3% after Warren Buffett’s Berkshire Hathaway disclosed buying more shares of the oil company this week.
Advancing issues outnumbered decliners by a 5.50-to-1 ratio on the NYSE and a 4.70-to-1 ratio on the Nasdaq.
The S&P index recorded 1 new 52-week high and 30 new lows, while the Nasdaq recorded 3 new highs and 264 new lows.