Investing.com - U.S. stocks rose on Wednesday after investors digested tech giant Apple's new phones and smartwatch released Tuesday and later applauded the new additions, which sparked a tech-sector rally a day later.
At the close of U.S. trading, the Dow 30 rose 0.32%, the S&P 500 index rose 0.36%, while the NASDAQ Composite index rose 0.87%.
The Volatility S&P 500 index, which measures the outlook for market volatility, was down 4.59% at 12.88.
Apple unveiled two larger-screen phones and a smartwatch on Tuesday, and while its shares rose initially on the news, uncertainty as to when U.S. interest rates will rise dampened the share price at the closing bell.
By Wednesday, investors shrugged off concerns the Federal Reserve may raise interest rates sooner than later, and applauded Apple's products, which sent tech stocks rising and brought broader stock indices up as well.
Still, investors kept an eye on the U.S. central bank, which will hold a policy meeting next week in wake of this Friday's heavy-hitting retail sales and consumer-sentiment reports.
A Federal Reserve Bank of San Francisco report published on Monday suggested rate hikes may come sooner than markets may be expecting.
The Fed is widely seen cutting its monthly bond-buying program by $10 billion to $15 billion at its Sept. 16-17 meeting before possibly closing it in October.
Many market participants are hoping the U.S. central bank's statement on monetary policy next week will hint at when rates may rise, seen some time in 2015.
Despite disappointments here and there, U.S. economic indicators collectively point to a recovery that is gaining steam, and while positive for stocks, concerns still persist as to how equities will perform in the absence of Fed stimulus programs followed by rising borrowing costs.
Leading Dow Jones Industrial Average performers included McDonald's Corporation (NYSE:MCD), up 2.10%, Goldman Sachs Group Inc (NYSE:GS), up 1.39%, and Visa Inc (NYSE:V), up 1.21%.
The Dow Jones Industrial Average's worst performers included Caterpillar Inc (NYSE:CAT), down 1.37%, UnitedHealth Group Incorporated (NYSE:UNH), down 1.06%, and Chevron Corporation (NYSE:CVX), down 0.72%.
European indices, meanwhile, ended the day largely lower.
After the close of European trade, the DJ Euro Stoxx 50 fell 0.04%, France's CAC 40 fell 0.04%, while Germany's DAX fell 0.11%. Meanwhile, in the U.K. the FTSE 100 rose 0.02%.
On Thursday, the U.S. is to produce its weekly report on initial jobless claims.