The Dow Jones Industrial Average rose sharply on Tuesday on hope of further progress in two-day talks between the the U.S. and China. The Dow advanced 300 points, or 1.3%, at 23,826, the S&P 500 index climbed 1.1% at 2,577, while the Nasdaq Composite Index COMP rose by 1.2% at 6,901.
Investors were watching for further signs of softening in the tensions from trade talks between Beijing and Washington, where were in their second and final day. The unexpected appearance of Chinese Vice Premier Liu on the first day of negotiations was praised by the U.S. delegation as a signal of the seriousness of the summit.
In corporate news, shares of Sears Holdings Corp tanked after reports indicated that the retailer would seek liquidation proceedings in bankruptcy. Shares of Tesla Inc. also were in focus after Oracle Corp. CEO Larry Ellison took a stake worth about $1 billion in the electric-car maker run by Elon Musk. Ellison was recently announced as a new Tesla board member.