The Dow turned positive in the year-to-date frame to erase losses incurred since the start of 2016 after five consecutive sessions of gains. After hitting a two-year low on Feb 11, the blue-chip index gained 9.4%, mostly led by a strong rally in oil prices and a gradual reduction in recession fears following encouraging economic data. Seventeen out of the 30 Dow components ended in the green for the year.

The index also got a significant boost after the Fed decided to keep the key interest rate unchanged and forecast a fewer number of rate hikes this year at its two-day policy meeting which ended on Wednesday. Given this backdrop, it will be interesting to find which blue-chip components have helped the Dow most to recover from heavy losses. But before discussing the top gainers from the index, let’s have a look at the key factors that boosted the index in recent times.

Factors that Led to Gains

Oil Rally

The strong rally in oil prices emerged as the main reason behind the recent surge in the blue-chip index. The WTI crude gained nearly 53.4% after plunging to a 13-year low on Feb 11 on rising possibility of a production freeze, continuing decline in the rig count and a lower-than-expected rise in crude inventories. Qatari oil minister and the president of OPEC, Mohammed Bin Saleh Al-Sada, recently said that the major oil producers will be meeting in Doha on Apr 17 to discuss issues regarding the production freeze.

Meanwhile, Baker Hughes Inc. (BHI – Analyst Report) reported a nine-unit decline in the rig count in the U.S. to an all-time low of 480 during the week ending Mar 11. It also marked the twelfth consecutive week of decline. Additionally, the U.S. Energy Information Administration reported an increase of 1.3 million barrels in crude inventories to 523.2 million for the week ending Mar 11, lower than a rise of 1.5 million barrel reported by the American Petroleum Institute (API).

These positive developments helped the broader S&P 500 sector – Energy Select Sector SPDR (XLE) – to jump 5.7% in the year-to-date frame. Meanwhile, two Dow components – Exxon Mobil (XOM – Analyst Report) and Chevron (CVX – Analyst Report) – rose 7.9% and 7.7%, respectively. These energy giants also found their places in the top six gainers of the blue chip index.