U.S. stocks surged Wednesday afternoon as Treasury yields retreated from a sharp ascent and investors cheered on a surprise policy pivot by the Bank of England.

The S&P 500 bounced roughly 2%, while the Dow Jones Industrial Average gained nearly 550 points, or 1.9% after both major averages hit fresh 2022 lows this week. The Nasdaq Composite rallied about 2.1%.

The moves in the U.S. came as, across the Atlantic, England's central bank said it would carry out temporary purchases of long-dated U.K. government bonds, an emergency intervention to help stabilize its currency.

“Were dysfunction in this market to continue or worsen, there would be a material risk to U.K. financial stability,” BoE officials said in a statement Wednesday morning. “This would lead to an unwarranted tightening of financing conditions and a reduction of the flow of credit to the real economy.”

Sizable swings across fixed income and currency markets were in focus Wednesday morning as interest rate and recessionary worries kept investors on edge. On the bond side, the benchmark 10-year Treasury note — a key economic linchpin — logged its biggest drop since 2009 to 3.7% after spiking above 4%.

“Long-dated U.S. Treasury price volatility is hitting statistically unusual levels right now, just as it did in June 2022,” DataTrek’s Nicholas Colas said in a morning note. “U.S, equities bottomed in that month once yields stabilized.”

In commodities, oil notched its biggest gain since July amid declining US inventories. West Texas Intermediate (WTI) crude oil settled 4.6% higher at $82.15 per barrel.

On the corporate front, shares of Apple (AAPL) fell 1.3% after a report the tech giant is backing off plans to increase production of its new iPhones this year after demand for the product failed to meet expectations.

Analysts at Morgan Stanley expressed skepticism over the news, calling reports "more bark than bite," and noting that "the upside from better-than- expected iPhone 14 Pro/Pro Max demand is likely being offset by weaker initial iPhone 14/14 Plus demand does not imply any downside to its iPhone shipment forecasts."