Here's what happened to the stock market on Thursday

The Dow gained 160.35 points, or 0.6%, to close at 28,492.27. The Dow also briefly erased its losses for 2020 at one point. The S&P 500 advanced 0.2% to 3,484.55. The Nasdaq Composite fell 0.3% to 11,625.34. Stocks gyrated throughout Thursday's session after the Federal Reserve unveiled a new framework that could keep interest rates lower for a longer period of time. 

'Average inflation targeting'

Fed Chairman Jerome Powell said the central bank formally agreed to a policy of "average inflation targeting." In other words, the central bank will let inflation run "moderately" above its 2% goal for "some time." Powell also hinted that unemployment data can stay lower for longer before the Fed starts thinking about raising rates. This led to a decline in short-term yields and gains along the long end of the yield curve.

Banks jump, tech lags

JPMorgan Chase advanced 3% and Citigroup rose 1.7%. Wells Fargo and Bank of America were up 2.3% and1.9%, respectively. Facebook, meanwhile, dropped 3.5% and Amazon slid 1.2%. Netflix dropped 3.9% and Alphabet pulled back by 1%.

What happens next?

Data on consumer sentiment and personal income is set for release Friday.

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