Dow jumps on Wednesday gains more than 500 points following modest loss on Tuesday

The Dow Jones Industrial Average on Wednesday gained more than 532 points. The S&P 500 and Nasdaq rose 2.7 percent and 3.6 percent.

The markets rallied amid news that a drug from Gilead Sciences, remdesivir, appears to be useful in treating COVID-19. 

The gain also came despite the Commerce Department reporting ahead of trading that the country's Gross Domestic Product dropped 4.8% for the first quarter of the year, the biggest decline since 2008 during the Great Recession.

The gains also follow modest losses Tuesday, following several days of gains, as markets appear to stabilize amid the virus and its impact on the global economy.

Also Wednesday, the Federal Reserve, citing poor economic conditions from the coronavirus, announced that it will keep the target range for the federal funds rate between 0 percent and 0.25 percent.