U.S. stocks finished higher Tuesday, with the S&P 500 exiting correction territory after a little over a month, as investors turned more bullish on hopes for a ceasefire agreement between Russia and Ukraine. The S&P 500 SPX, +1.23% added about 56 points, or 1.2%, enough to close above the 4,587.
77 mark necessary to emerge from correction territory, defined as at least a 10% decline from its prior high. The Dow Jones Industrial Average rose 1% on Tuesday, while the Nasdaq Composite Index booked a 1.8% gain, even as a part of the Treasury yield curve inverted, which has been a reliable past predictor of recessions, albeit often with a roughly two-year lag.
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