After a series of rising and falling days since Russia's invasion of Ukraine began, the U.S. stock market ended Wednesday overall above where it was a week ago as investors evaluate a combination of factors like oil prices and recent comments from Federal Reserve Chair Jerome Powell.
The Dow Jones Industrial Average has risen about 3.2 percent in the five days of trading since the invasion began, compared to jumps of 5.5 percent for the S&P 500 and just over 9.2 percent for the Nasdaq Composite Index.
The market saw overall gains Wednesday that effectively made up for losses that were endured Tuesday. The price of oil has seen some of the largest increases over the last week, ending Wednesday just over $110 per barrel as the global economy has attempted to gauge what impact Russia's invasion of Ukraine and the ensuing economic sanctions will have on the oil production of the region.
Last week, Russia's stock market saw massive losses as the invasion began and sanctions were announced against several key economic institutions, including the ruble losing a significant portion of its value comparable to the U.S. dollar.
The oil prices from several benchmarks across the globe have reached their highest prices in several years following the recent spikes, CNBC reported.
The market also rose Wednesday following Powell's announcement that the Federal Reserve will begin raising interest rates this month to combat the inflation that has reached the highest levels in decades in recent months.
"We understand that high inflation imposes significant hardship, especially on those least able to meet the higher costs of essentials like food, housing, and transportation," Powell told Congress Wednesday. "We know that the best thing we can do to support a strong labor market is to promote a long expansion, and that is only possible in an environment of price stability."
He also said it is currently unclear what impact the conflict in Ukraine will have on the American economy in the coming months, but the Fed will "be monitoring the situation closely" to ensure the federal government can be "nimble" enough to respond to any new developments.
"I think there is some relief that U.S. economic data continues to remain solid. ... It's a tug-of-war between ongoing uncertainty but still solid domestic fundamentals," Angelo Kourkafas, an investment strategist at Edward Jones, told CNBC.
"With the market down about 10%, roughly, in correction territory, and valuations having normalized, there is some support. But the situation remains very fluid, which means that back and forth is likely to continue," Kourkafas added.
Update 3/2/22 7:00 p.m. ET: This story has been updated with additional information and context.
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A 2020 graduate of Kent State University with a Bachelor's degree in Journalism, Aaron has worked as an assigning editor ... Read more
