After Monday’s broad-based sell-off — triggered by renewed pressure from President Donald Trump on Federal Reserve Chairman Jerome Powell, raising concerns over the integrity of central bank independence — Wall Street bounced back with strength on Tuesday, buoyed by upbeat signals from the corporate earnings season.

By midday in New York, major indices were up by nearly 3%, with all 11 sectors of the S&P 500 trading in positive territory. Consumer discretionary stocks led the rally.

The Dow Jones Industrial Average surged over 1,000 points, breaking above the 39,200 mark, as bullish momentum swept across Wall Street. Only a few S&P 500 stocks remained in negative territory.

At a JPMorgan-hosted event in Washington, U.S. Treasury Secretary Scott Bessent hinted at a potential de-escalation in tensions with China, further supporting risk sentiment.

Shares of Tesla Inc. TSLA surged nearly 5% as investors looked ahead to the company's first-quarter earnings report, due after the closing bell.

In the bond market, after two sessions of rising Treasury yields, a modest pullback suggested some investors saw an opportunity to buy as long-dated yields neared the 5% threshold.

On the commodities front, gold briefly touched $3,500 per ounce overnight before retreating to $3,420 amid an improvement in equity market sentiment. Oil jumped 2.3%, with WTI crude reaching $64 per barrel, while copper gained 2.8%.

The cryptocurrency market also reflected a broader risk-on mood. Bitcoin BTC/USD rallied 4% to $91,000, while Ethereum ETH/USD advanced more than 7% to $1,700.

Tuesday’s Performance In Major U.S. Indices, ETFs

According to Benzinga Pro data:

• The SPDR S&P 500 ETF Trust SPY rallied 2.7% to $527.95.
• The SPDR Dow Jones Industrial Average DIA rose 3.9% to $392.14.
• The tech-heavy Invesco QQQ Trust Series QQQ rose 3% to $446.20.
• The iShares Russell 2000 ETF IWM rallied 2.7% to $187.68.
• The Consumer Discretionary Select Sector SPDR Fund XLY outperformed, up 3.8%.

Tuesday’s Stock Movers

Stocks reacting to quarterly earnings included:

• General Electric Co. GE up 4.8%
• Verizon Communications Inc. VZ up 0.5%,
• RTX Corp. RTX down 8.7%
• $Danaher Corp(DHR-W)$. DHR up 6.6%,
• Lockheed Martin Corp. LMT up 2.4%,
• Moody’s Company MCO up 3%
• 3M Company MMM up 8%
• Northrop Grumman Corp. NOC down 13%
• Equifax Inc. EFX up 14%.
• Halliburton Inc. HAL down 4.9%.

Shares of First Solar Inc. FSLR soared 12% as the U.S. administration imposed tariffs up to 3,521% on solar imports from Southeast Asia.

S&P 500’s Top 5 Gainers

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