US stocks close higher

U.S. stocks ended higher on Wednesday.

The Dow Jones Industrial Average rose 224.23 points, or 0.48 percent, to 46,565.74. The S&P 500 added 46.8 points, or 0.72 percent, to 6,575.32. The Nasdaq Composite Index increased by 250.32 points, or 1.16 percent, to 21,840.95.

Eight of the 11 primary S&P 500 sectors ended in the green, with industrials and communication services leading the gainers by each going up 1.65 percent. Meanwhile, energy and consumer staples led the laggards by dropping 3.89 percent and 0.57 percent, respectively.

The Polish government has recently rolled out a series of emergency measures to cushion the impact of energy costs on households in light of rising oil prices and increasing inflation risks.

Amid escalating tensions in the Middle East, international crude oil prices have jumped, pushing fuel prices in Poland up by more than 30 percent over the past month. Starting Tuesday, the Polish government began implementing a package of measures aimed at reducing fuel costs. These include lowering the value-added tax on fuel, cutting excise duties to the minimum level permitted under the European Union (EU) regulations, and cracking down on price gouging to maintain market stability.

Notably, gas stations in Poland have seen an increase in customers following the price cuts. Still, many residents believed the reduction is only temporary and that prices will likely rise again in the future.

"Even though the government has lowered prices, they are still high. I think the price cut might last for a while, but it's hard to say how long. I think this is just the beginning and the prices will rise in the future," said Arkadiusz, a local resident.

Polish economist Tomasz Bieliński said that it remains unclear how long the government can sustain these policies, and that rising energy prices are now transmitting pressure to core areas of the macroeconomy. In his view, if oil prices continue to climb, the European Central Bank and other central banks across the EU may be forced to adjust their monetary policies.

"Interest rates were actually reduced in most of the central banks in Europe. But, this reduction will probably stop, because we have rising prices of pretty much everything on the horizon," he said.