(CNBC) -- Stocks closed higher on Wednesday as investors digested news related to the ongoing trade war between the United States and China.
The Dow Jones Industrial Average rose 160 points, led by gains in Caterpillar. The S&P 500 climbed 0.6 percent as the consumer discretionary sector outperformed. The Nasdaq Composite jumped 1 percent as Facebook, Amazon, Netflix and Google-parent Alphabet rose.
The major averages came off their highs in afternoon trading. The Dow had risen as much as 458.05 points, while the S&P 500 gained 1.85 percent at its session high. The Nasdaq rose as much as 2.35 percent.
Advertisement - story continues below