As the slot trading day came to a close on Wall Street on Wednesday, investors saw a bit of a rise in stocks, with oil prices taking another sharp fall.
Investors believe the continued tumble in oil prices could mean less pressure on an economy dealing with inflation and interest rate hikes. The news could encourage the U.S. Federal Reserve to feel more assured that it can keep rates steady, and take a break from increasing them any further for a while.
The price of a barrel of U.S. crude oil returned to where it was in July, analysts said. The Federal Reserve has been jacking up rates in recent months to try to slow down the economy. The hope is that the effects on the job market and investments might have been necessary to pressure inflation to drop closer to the 2% target for the central bank.
Stocks had remained at around the same spot for the last eight days of trading. Eli Lilly had one of the strongest performances this week as it climbed upward by 3.2% following an announcement from U.S. regulators that its popular diabetes treatment Mounjaro can now be sold as a weight-loss drug.
Media group Warner Brothers Discovery fell by 19% following reports of a worse-than-expected loss amid the latest fiscal quarter for the company. The company lost a significant amount of streaming subscribers.
Airlines including American, United and Delta saw a jump in share prices benefiting from the news that oil prices were falling.