The Federal Reserve and four other central banks cut interest rates by a half-point aimed at restoring confidence in the market and help end the global financial crisis.
"With all of this occurring as a coordinated effort is showing that everybody out there is trying to fight this thing, and that should bring some confidence back to the market," said Scott Fullman, director of derivatives investment strategy for WJB Capital Group. "But, the big question now is can the credit market open for business."
The Fed noted in a statement that the market turmoil posed a further threat to an already shaky economy; it was joined in the rate cut by banks including the European Central Bank, Bank of England, The Bank of Canada, the Swedish Riksbank and the Swiss National Bank.
The Dow rose 35.44, or 0.38 percent, to 9,482.55 in the first half-hour of trading.
The Standard & Poor's 500 index rose 6.03, or 0.61 percent, to 1,002.26. The Nasdaq composite index was up 9.14, or 0.52 percent, to 1,764.02.
Slideshow archive | ABC13 wireless | Help solve crimes