US STOCKS-Wall Street bounces back as stimulus hopes soothe recession fears

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* Trump promises fiscal stimulus measures to combat virus
fears
* Energy, financial stocks rebound
* Indexes up: Dow 4.89%, S&P 4.94%, Nasdaq 4.95%

(Updates to market close)
By Stephen Culp
NEW YORK, March 10 (Reuters) - Wall Street roared back to
life on Tuesday, rebounding from the brink of bear market
confirmation as bargain-hunting and hopes of government stimulus
calmed investors' fears surrounding the coronavirus and growing
signs of imminent recession.
All three major indexes jumped nearly 5% the day after
equities markets suffered their biggest one-day losses since the
2008 financial crisis.
Still, the S&P 500 and the Nasdaq ended the session about
15% below the record closing highs reached on Feb. 19. Sinking
beyond the 20% mark would confirm a bear market.
U.S. President Donald Trump said he will take "major steps"
to allay market fears by asking Congress for a fiscal stimulus
package to include a payroll tax cut, among other measures.
"Coming off yesterday, you've got short-term bargain-hunters
coupled with potential fiscal stimulus hopes," said Chuck
Carlson, chief executive officer at Horizon Investment Services
in Hammond, Indiana.
"It may be the biggest benefit is not actually what's
getting done - it's that there appears to be a plan," Carlson
added. "There does appear to be a willingness to do something,
and that's probably what's helping the market."
Market participants largely expect the U.S. Federal Reserve
to cut interest rates for the second time this month at the
conclusion of next week's two-day monetary policy meeting.
Outside the United States, major world economies took steps
to cushion the effects of the fast spreading COVID-19.
Global markets have been rattled in recent weeks by the
rapidly spreading coronavirus, which has caused widespread
supply chain disruption, hobbled the travel industry and
prompted drastic containment measures in Italy and elsewhere.
Market uncertainties surrounding COVID-19 were exacerbated
over the weekend as Saudi Arabia and Russia scrapped their
supply pact and pledged to increase crude oil production.
But oil prices rebounded from Monday's largest percentage
drop since the 1991 Gulf War, with front-month Brent crude
LCOc1 rising 10.0% after Russia indicated it was open to talks
with OPEC. Energy stocks .SPNY bounced back from their worst decline
on record, advancing 5.0%.
The Dow Jones Industrial Average .DJI rose 1,167.14
points, or 4.89%, to 25,018.16, the S&P 500 .SPX gained 135.67
points, or 4.94%, to 2,882.23 and the Nasdaq Composite .IXIC
added 393.58 points, or 4.95%, to 8,344.25.
All 11 major sectors of the S&P 500 closed higher, led by
tech .SPLRCT and rate-sensitive financial .SPSY shares.
Financials jumped 6.0% after suffering their worst day in
more than a decade as U.S. Treasury yields rebounded from record
lows.
United Parcel Service Inc UPS.N gained 6.5% as Stifel
upgraded its shares to "buy," while Amazon.com Inc AMZN.O rose
5.1% on Cowen & Co's price target increase. Shares of Chevron Corp CVX.N and Marathon Oil Corp MRO.N
rose 5.3% and 21.2%, respectively, after the oil companies and
their peers announced cost reduction efforts to combat plunging
crude prices. Advancing issues outnumbered declining ones on the NYSE by a
2.61-to-1 ratio; on Nasdaq, a 2.06-to-1 ratio favored advancers.
The S&P 500 posted three new 52-week highs and 100 new lows;
the Nasdaq Composite recorded eight new highs and 578 new lows.
Volume on U.S. exchanges was 15.81 billion shares, compared
with the 11.52 billion average over the last 20 trading days.