Stocks rise in extended rally, clawing back more ground

By DAMIAN J. TROISE
AP Business Writer

NEW YORK (AP) – Stocks rose sharply on Wall Street Tuesday and clawed back more of the ground they lost in a miserable several weeks.

The S&P 500 rose 2.9% in afternoon trading on Tuesday. The benchmark index has been rallying since hitting its lowest point of the year on Friday to close out a September slump.

Other major U.S. indexes were also higher. Treasury yields continued to pull back from their multiyear highs. European markets also posted strong gains.

Australia’s market jumped 3.8% overnight after that country’s central bank made an interest rate increase that was smaller than previous ones.