After losing up to nearly 1% in early trading, the Dow Jones was up 1.01% around 17:40 GMT.
"We are entitled to a nice bounce, mainly for two reasons. The Swiss central bank is calming fears that Credit Suisse is in financial trouble and reports that a group of financial institutions are talking about depositing $20 billion in First Republic," said Peter Cardillo of Spartan Capital.
According to the Financial Times, JPMorgan Chase is trying to rally behind several big names of the place to come to the rescue of the Californian First Republic, regularly considered as the next weak link in the crisis that has plagued the banking sector for a week.
In addition to JPMorgan Chase, seven financial institutions are said to be parties to the discussions, namely the largest US banks as well as regional institutions PNC Financial Services and US Bancorp.
According to CNBC, this group would be ready to deposit $ 20 billion in First Republic to strengthen its deposits and restore confidence in this brand little known until now.
After dropping more than 36% in early trading, First Republic shares were put into orbit by this press information. The reversal was so abrupt that the listing of the stock was suspended several times by the Nasdaq.
Around 17:40 GMT, the stock was up 3.63%, after gaining as much as 28%.
© 2023 AFP