Major Averages Posting Strong Gains In Early Trading

(RTTNews) - After showing a lack of direction throughout much of the previous session, stocks have moved sharply higher in early trading on Wednesday. The major averages have all shown strong moves to the upside after ending the previous session mixed.

The early strength on Wall Street is partly in reaction to rallies by stocks overseas, with most markets across Europe and the Asia-Pacific region seeing considerable strength on the day.

Traders have also reacted positively to a report from payroll processor ADP showing stronger than expected private sector job growth in the month of September.

The report said private sector employment jumped by 200,000 jobs in September following a downwardly revised increase of 186,000 jobs in August. Economists had expected an increase of about 190,000 jobs.

Biotechnology stocks have shown a substantial move back to the upside after turning lower over the course of the previous session. The NYSE Arca Biotechnology Index has surged up by 4.5 percent, bouncing off a nine-month closing low.

Novavax (NVAX) has helped to lead the biotech sector higher after announcing positive top line data from a Phase I clinical trial of its RSV F-protein recombinant nanoparticle vaccine.

Computer hardware, semiconductor, energy, and internet stocks are also seeing significant strength, moving higher along with most of the other major sectors.

Currently, the major averages are posting strong gains, just off their highs for the young session. The Dow is up 234.57 points or 1.5 percent at 16,283.70, the Nasdaq is up 96.75 points or 2.1 percent at 4,614.07 and the S&P 500 is up 31.20 points or 1.7 percent at 1,915.29.