US stocks rallied on Wednesday as an improvement in consumer confidence and better-than-expected earnings boosted sentiment. Treasuries were mixed after Tuesday’s selloff as the furore following the Bank of Japan’s unexpected increase in its yield trading band ebbed.
The S&P 500 rose for a second day, while the Nasdaq 100 climbed the most since late November. Both indexes are still down the most since 2008 for the year. The policy-sensitive two-year Treasury yield dropped four basis points on the day, while the benchmark 10-year yield remained fairly steady for most of the session.
