Stocks regain much of the ground they lost a day earlier

Trader Ashley Lara works on the floor of the New York Stock Exchange, Tuesday, July 20, 2021. Stocks are opening higher on Wall Street Tuesday as investors shake off a rout a day earlier brought on by concerns about the spread of a more contagious variant of COVID-19. (AP Photo/Richard Drew) Trader Ashley Lara works on the floor of the New York Stock Exchange, Tuesday, July 20, 2021. Stocks are opening higher on Wall Street Tuesday as investors shake off a rout a day earlier brought on by concerns about the spread of a more contagious variant of COVID-19. (AP Photo/Richard Drew)

By DAMIAN J. TROISE and ALEX VEIGA / The Associated Press July 21, 2021 4 min read

Stocks jumped on Wall Street Tuesday, making up much of the ground they lost a day earlier when worries flared about spreading cases of the more contagious variant of COVID-19.

The comeback was the latest rebound following a pullback as investors continue to try and assess how badly rising infections will hurt the economic recovery.

The S&P 500 rose 64.57 points, or 1.5%, to 4,323.06. The gain erased most of the benchmark index’s 1.6% loss on Monday, its biggest since May.

Airlines, cruise operators and other stocks that sank a day earlier were back in the winning column. American Airlines climbed 8.4% and Carnival gained 7.5%. Technology, financial, industrial and health care stocks also powered a big share of the benchmark index’s broad gains.

The Dow Jones Industrial Average rose 549.95 points, or 1.6%, to 34,511.99. The blue-chip index lost 725 points a day earlier. The Nasdaq composite gained 223.89 points, or 1.6%, to 14,498.88.