Stocks closed with solid gains on Wall Street Tuesday, erasing most of the previous day’s losses. The S&P 500 rose 1.1%, with technology companies and banks leading the gains. The yield on the 10-year Treasury note rose to 1.53%. The Institute for Supply Management released an encouraging report that showed the services sector continued growing in September and at a faster pace than economists expected. The S&P 500 rose 45.26 points to 4,345.72. The Dow Jones Industrial Average rose 311.75 points, or 0.9%, to 34,314.67. The Nasdaq rose 178.35 points, or 1.3%, to 14,433.83.
Energy prices continued rising. US oil rose 1.7% to $78.93 per barrel. Natural gas futures jumped 9.5%. Rising energy prices have been steadily pushing gasoline prices higher. The average price for a gallon of gas in the US is $3.20, up more than $1 from a year ago, according to AAA. Technology stocks did much of the heavy lifting for the broader market. Chipmaker Nvidia rose 4% and Microsoft rose 2.2%. Communications stocks also made solid gains after losing ground a day prior. Netflix rose 5.2%.
Facebook rose 2.1%. The stock fell nearly 5% on Monday as the company suffered a worldwide outage and faced political fallout after a former employee told 60 Minutes that the company has consistently chosen its own interests over the public good. A wide range of companies that focus on consumer services gained ground following the ISM's encouraging update on the services sector, which is the largest part of the US economy, the AP reports. Chipotle rose 1.7% and Carmax gained 3.2%.
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