U.S. stocks rose on Tuesday as gains in technology, consumer discretionary stocks and General Electric helped Wall Street recover from a sharp sell-off a day earlier on spiraling global trade tensions.
GE rose 8.2 percent, on track for its biggest one-day gain in over three years, after the company said it would spin off its healthcare business and divest its stake in oil-services company Baker Hughes (BHGE.N).
Technology stocks rose, after plunging on Monday after reports of possible restrictions on foreign investment in U.S. technology firms. Apple (AAPL.O) was up 1.8 percent, Amazon (AMZN.O) rose 1.9 percent and Netflix gained (NFLX.O) 4.6 percent.
“We’re still in a tug-of-war between daily twists and turns of a potential trade war and the reality of a strong underlying U.S. economy,” Brent Schutte, chief investment strategist at Northwestern Mutual Wealth Management Co said.
The benchmark S&P 500 index on Monday saw its worst day in more than two months, dropping 1.37 percent after conflicting messages from Trump administration officials on the proposed foreign investment restrictions.