The Dow Jones Industrial Average added 337.12 points, or 1.07 percent, to 31,836.74. The S&P 500 climbed 61.77 points, or 1.63 percent, to 3,859.11. The Nasdaq Composite Index increased 246.51 points, or 2.25 percent, to 11,199.12.
Ten of the 11 primary S&P 500 sectors ended in green, with real estate and materials up 3.94 percent and 2.53 percent, respectively, leading the gainers. Energy slipped 0.05 percent, the lone declining group.
A decline in bond yields helped the market rally. The yield on the benchmark U.S. 10-year Treasury fell by around 13 basis points to 4.1 percent on Tuesday afternoon. The yield on the policy-sensitive 2-year Treasury note also decreased.
The equity markets have usually moved negatively with bond yields, as higher bond yields would make equity investments less attractive.
On the earnings side, beverage giant Coca-Cola reported third-quarter profit and revenue that topped estimates, sending the stock up 2.4 percent.
Shares of General Motors also advanced on better-than-expected earnings, while shares of Xerox and JetBlue fell after disappointing earnings.
Tech heavyweights Alphabet and Microsoft reported results after Tuesday's closing bell.
"The majority of companies are beating earnings. But the results so far underline our view that earnings momentum is slowing, and we expect headwinds to mount further," UBS analysts said Tuesday in a note.
Latest comments