The New York Stock Exchange rebounded on Wednesday after several weak sessions, with investors optimistically welcoming a better-than-expected inflation index while continuing to monitor developments in trade policy.

At around 2:05 PM GMT, the Dow Jones, which had opened higher, was down 0.28%, the Nasdaq index was up 1.61% and the broader S&P 500 index was up 0.68%.

In terms of indicators, "after some bad surprises recently, we had a good surprise" on Wednesday, Steve Sosnick of Interactive Brokers told AFP.

US inflation slowed slightly more than expected in February, reaching 2.8% year-on-year, according to the CPI index published on Wednesday, marking an easing after four consecutive months of acceleration.

The consumer price index rose 0.2% month-on-month, down from 0.5% in January, according to the U.S. Department of Labor. Analysts had expected a 2.9% year-on-year increase and a 0.3% month-on-month increase, according to the consensus published by MarketWatch.

Last month, this publication shook the markets, being higher than analysts had expected, and exacerbated fears of a possible decline in American growth.

"Given that the market has been a little nervous" lately, "there was some concern that the numbers might be disappointing," Sosnick said.

"It was the news the market wanted to hear," he sums up.

Investors are now focusing on the Producer Price Index (PPI), which will be released on Thursday and measures inflation on the producer side.

On the bond market, the yield on ten-year US government bonds rose to 4.32%, compared to 4.28% at the close on Tuesday.

US investors also continue to monitor discussions surrounding the Trump administration's tariffs and the numerous reversals that accompany these measures.

The 25% tariffs on steel and aluminum sought by the new White House tenant took effect on Wednesday.

Canada, China, the European Union (EU), Japan and Australia are affected, while Donald Trump's stated aim is to protect the American steel industry, which has seen its production decline year after year, faced with increasingly vigorous competition, particularly from Asia.

The EU has chosen to retaliate and plans to impose tariffs on a range of US products ranging from boats to bourbon to motorcycles, starting April 1.

"If we could say exactly what might come from the White House or other governments regarding tariffs, then that would give the market more certainty," Sosnick said.

Elsewhere, electric vehicle pioneer Tesla rebounded (+6.96%) after Trump came to the brand's aid at the White House on Tuesday.

On Monday, Tesla's stock plunged more than 15% in its worst trading session since 2020, as the automaker suffered a plunge in sales.

The historic chip giant Intel gained momentum (+5.74%) after reports from Reuters that Taiwan Semiconductor Manufacturing Company (TSMC) had approached other industry giants such as Nvidia, Broadcom and Advanced Micro Devices (AMD) to jointly operate Intel factories.

Rubber clog maker Crocs was in demand (+4.10%) after analysts at investment bank Loop Capital upgraded its recommendation.