Here Are 3 Hot Things to Know About Stocks Right Now

  • The Dow Jones Industrial Average  and S&P 500  finished sharply higher on Wednesday, the first day of gains for the indexes in the last four trading sessions.
  • The U.S. economy grew 2.2% in the first quarter, down from the 2.3% originally reported.
  • Dick's Sporting Goods Inc. (DKS)   jumped 25.8% after profit at the retailer jumped.

Wall Street Overview

Stocks rebounded sharply Wednesday, May 30, after a political crisis in Italy pushed equities sharply lower during the previous session.

The Dow Jones Industrial Average   closed up 306 points, or 1.26%, to 24,668. The S&P 500   rose 1.27% and the Nasdaq  gained 0.89%.

Leading gainers on the Dow included Exxon Mobil Corp. (XOM) and Chevron Corp. (CVX)  , which rose 3.9% and 3.1%, respectively, after U.S. oil prices climbed 2.2% to settle at $68.21 a barrel.

Italy's political crisis continued to hang over global sentiment, however, with reports from Rome suggesting new elections could come as early as July. European stocks traded mixed on Wednesday.

"From a financial markets perspective, if Italy were to leave the eurozone, what would happen to its trillions of dollars in debt, which is widely held? Were that debt redenominated from euros to lira, it could bankrupt the entire European banking system, rocking financial institutions around the world," said Brad McMillan, Chief Investment Officer for Commonwealth Financial Network.

Asian shares closed with heavy losses on Wednesday as investors reacted to news the U.S. will publish a list of Chinese goods it will hit with tariffs next month as the brewing trade war between the world's two biggest economies threatens to escalate again.

China's Commerce Ministry issued a statement Wednesday saying it was "surprised" by the U.S. move and urged Washington to act in the spirit of recent talks in which the two sides said they would work to narrow China's massive trade surplus.

First-quarter gross domestic product growth in the U.S. was revised lower to 2.2% from an originally reported 2.3%, according to the Bureau of Economic Analysis.

The U.S. added 178,000 private-sector jobs in May, according to Automatic Data Processing Inc. Economists had expected private payrolls to rise by 185,000 last month. The ADP report is a precursor to the official U.S. jobs report for May, which will be released Friday, June 1.

Shares of Salesforce.com Inc. (CRM) rose 1.9% on Wednesday after the cloud software company's first-quarter earnings and outlook for the year topped analysts' forecasts.

Salesforce said billings - defined as revenue plus the sequential change in unearned revenue that it has billed but not recorded on its income statement - rose a stronger-than-expected 16% to $2.21 billion.

Salesforce estimated that earnings for the fiscal year would be $2.29 to $2.31 a share on revenue of $13.08 billion to $13.13 billion.

Dick's Sporting Goods Inc. (DKS)  jumped 25.8% after the retailer reported first-quarter adjusted profit of 54 cents a share, above estimates of 45 cents. Sales were $1.91 billion vs. estimates of $1.88 billion. The company also raised its full-year guidance.

Michael Kors Holdings Ltd. (KORS) posted adjusted earnings in its fiscal fourth quarter of 63 cents, beating estimates by 3 cents. Revenue in the quarter rose to $1.18 billion; analysts expected $1.15 billion.

The company said it expects fiscal first-quarter earnings of 90 cents to 95 cents on revenue of $1.135 billion. Shares declined 11.4%.

HP Inc. (HPQ)  posted fiscal-second quarter adjusted earnings of 48 cents a share, meeting analysts' estimates, while revenue of $14 billion beat forecasts of $13.57 billion. 

The personal computer and printer maker also said it appointed Steve Fieler as chief financial officer, replacing Catherine Lesjack, who is stepping down. Lesjack plans to remain as interim chief operating officer until 2019. The stock rose 4%. 

Hot On TheStreet: Coming Up Thursday

Boeing's (BA) stock has been on fire this year, up 20%, as investors have warmed up even more to the aircraft maker's growth potential. TheStreet's Executive Editor Brian Sozzi will sit down exclusively with Boeing CEO Dennis Muilenburg on Thursday afternoon to discuss the company's outlook.

Sign up for alerts on Boeing on TheStreet's homepage so you are alerted immediately when this interview goes live.  

4 Top Experts Tell You How to Play the Market. TheStreet's Scott Gamm recently sat down with top market watchers from Bank of America, Fisher Investments, Invesco and Wells Fargo. Click here and register to watch a free roundtable in which they lay out their best advice.

More from Markets

Dow Leads as Stocks Rally Out of the Red

Dow Leads as Stocks Rally Out of the Red

Nvidia Shares Tanking as Analysts Cut Price Targets

Nvidia Shares Tanking as Analysts Cut Price Targets

Dow Futures Weaken Amid Tech Sector Concerns; Oil Rebounds on OPEC Cut Plans

Dow Futures Weaken Amid Tech Sector Concerns; Oil Rebounds on OPEC Cut Plans

Nvidia Shares Tank After Earnings And Revenue Miss, Poor Guidance

Nvidia Shares Tank After Earnings And Revenue Miss, Poor Guidance

Nvidia, Applied Materials, SpaceX and PG&E - 5 Things You Must Know

Nvidia, Applied Materials, SpaceX and PG&E - 5 Things You Must Know