Wall Street stocks bounced back on Wednesday, a day after its worst selloff in three months, as a report showed the U.S. private sector added more jobs than expected last month.
Job creation by U.S. private employers picked up in February, reinforcing hopes that Friday's government payrolls report would confirm a steadily healing labor market.
Just a fraction of the previous session's declines were clawed back, led by growth sectors, hard hit on concerns about global economic growth and the possibility of a spike in oil prices.
Doreen Mogavero, chief executive of Mogavero, Lee & Co, a trading firm on the floor of the New York Stock Exchange, saw the Tuesday selloff as slightly overdone.
But I don't think this means investors are getting back in the market, she said. Oil is still a big factor ... so I expect a cautious approach in the next few days.
She said a catalyst for the next big move will be the Friday payrolls report.
The Dow Jones industrial average <.DJI> advanced 76.10 points, or 0.60 percent, at 12,835.25. The Standard & Poor's 500 Index <.SPX> was up 8.49 points, or 0.63 percent, at 1,351.85. The Nasdaq Composite Index <.IXIC> rose 24.08 points, or 0.83 percent, at 2,934.40.
Helping to reassure markets, major banks and pension funds threw their weight behind Greece's bond swap offer to private creditors, increasing chances of a deal going through.
The Tuesday tumble had come on renewed concerns about Greece and the outlook for the global economy. It was one of the worst performances since equities began rallying in October.
Financial stocks, big losers on Tuesday, helped drive gains. Morgan Stanley
Anticipation of Apple's
Investors kept an eye on oil prices after France voiced skepticism a planned revival of talks between six world powers and Iran over its nuclear program would succeed.
Traders worry that an escalation of the crisis could bring war to the region, raise oil prices, and harm the global economy. U.S. crude futures were up nearly 1 percent at $105.67 per barrel near midday.
Shares of Freeport McMoRan Copper & Gold Inc
(Reporting by Rodrigo Campos; editing by Jeffrey Benkoe)