Stocks closed broadly higher on Wall Street Tuesday as more countries relaxed restrictions on businesses, raising hopes for a recovery from the historic plunge that is sweeping the global economy.
The S&P 500 rose 0.9%, although it lost about half of its early gains in a late-afternoon burst of selling. Technology and health care stocks accounted for much of the gains, which followed a strong showing in overseas markets.
Investors are cautiously optimistic that the gradual reopening of some businesses will begin to turn around the economy.
In California, some retail businesses could begin serving customers again as early as Friday, under some restrictions. Many European countries have also begun relaxing strict orders meant to slow the spread of the coronavirus outbreak, while waiting to see if it leads to a resurgence in infections. In Asia, the first pitches of the South Korean baseball season thwacked into catchers’ mitts, albeit in stadiums with no fans in attendance.
Expectations for stronger demand for oil as more businesses get the green light to open helped drive the price of oil sharply higher, extending its mini-rally after falling to record lows last month.