Wall Street surged on Wednesday as oil prices recovered and Congress looked on course to approve nearly $500 billion more in aid to help small businesses ride out the coronavirus crisis.
US crude and benchmark Brent prices climbed after a collapse in the past two days, sending the S&P 500 energy index up 3.6%.
All 11 S&P 500 sector indexes traded higher after the US Senate unanimously approved the new relief package, adding to trillions of dollars in stimulus that have helped Wall Street rebound from its March lows.
The House of Representatives is expected to clear the bill on Thursday.
"The (stimulus) response times have been way faster than what you saw in 2008. What you're seeing is the tail risk removal that stops the equity downturn and allows the market to actually look," said Anik Sen, global head of equities at PineBridge Investments in New York.
The benchmark S&P 500 is 17% below its February record high as statewide shutdowns have sparked layoffs and crushed consumer spending, putting several industries at risk of collapse.
Estimates for US jobless claims for the latest week ranged as high as 5.5 million, while a reading on April US factory activity was likely to fall to levels last seen during the 2008 financial crisis. Both reports are due Thursday.
Investors will also be paying close attention to capital allocation from companies, Perez added, "You have to have the cash to sustain and ride out to the other side."
Amid Wednesday's rally, many investors remained cautious about the outlook for the spread of the coronavirus and the damage it will ultimately do to the global economy.
Burrito chain Mexican Grill Inc jumped about 14% after it reported soaring digital and home delivery sales and said it had enough cash and liquidity to get through the next year.
Netflix Inc more than doubled its own projections for new customers in the first quarter. However, its shares fell 2.9% as it forecast a weaker second half if the lockdown measures are lifted.
The Russell 2000 index of US small-cap stocks rallied 1.4% but it remains down nearly 30% from its February high, reflecting smaller companies' recent underperformance compared to Wall Street's largest firms.
With volatility the new normal on Wall Street, the Dow Jones Industrial Average was up 1.99% at 23,475.82 points, while the S&P 500 gained 2.29% to 2,799.31.
The Nasdaq Composite added 2.81% to 8,495.38.
Volume on US exchanges was 10.3 billion shares, compared with a 13 billion-share average over the last 20 trading days. Many traders believe low-volume days reflect a lack of conviction among investors.
The Philadelphia Semiconductor index surged 5.9%, its biggest one-day leap since April 6.
Advancing issues outnumbered declining ones on the NYSE by a 2.48-to-1 ratio; on Nasdaq, a 2.00-to-1 ratio favored advancers.
The S&P 500 posted four new 52-week highs and two new lows; the Nasdaq Composite recorded 24 new highs and 19 new lows.