Stocks Gain as Trade Tensions Stir More Volatility: Markets Wrap

Wall Street was lashed with volatility as investors struggled to gauge the scope of trade tensions between the world’s two largest economies. Stocks rallied, plunged, then rose anew amid optimism over earnings.

Following one of the best six-month stretches for equities since the 1950s, the market has seen brief bouts of profit-taking in a move dubbed a “healthy reset” after a torrid surge. Those downward shifts haven’t lasted long on speculation that Federal Reserve interest-rate cuts will keep the positive momentum going for Corporate America.

Stocks bounce back.

Photographer: Michael Nagle/Bloomberg

After a rally that drove the S&P 500 up as much as ...