According to Reuters, the rebound came after Tuesday’s collapse, when all three major U.S. indexes sagged nearly 2% after Trump warned new tariffs could hit European allies if the U.S. doesn’t allow the purchase of Greenland.
The CBOE Volatility Index (VIX) fell from mid-November highs to 17.59.
Investors are also reacting to quarterly reports from major companies including Netflix, Johnson & Johnson and Travelers.
For example, Netflix reported earnings of $0.56 per share for the fourth quarter of 2025, beating analysts’ estimates ($0.55). The number of paid subscribers reached a record 325 million. For the first quarter of 2026, Netflix forecasts $0.76 earnings per share and revenue of $12.16 billion. For the full year 2026, the company expects revenue in the range of $50.70-51.70 billion.
Johnson & Johnson posted earnings of $2.46 per share in the fourth quarter. Revenue rose 9% to $24.56 billion versus a projected $24.15 billion. For 2026, the company expects earnings of $11.43 to $11.63 per share.
As for Travelers, it reported earnings of $11.13 per share in the fourth quarter, beating estimates of $8.76. The insurance company’s revenue rose 3.5% to $12.43 billion versus expectations of $11.01 billion.
