US Stocks jumped higher on Tuesday as the U.S. temporarily eased restrictions on Chinese telecom giant Huawei, placing the market on track after losing for two straight days.
On Monday night, the U.S. Commerce Department said it would allow Huawei to buy US-made goods so as to preserve its existing networks and provide software updates to present Huawei handsets until August 19.
Google has decided to resume cooperation with Huawei for 90 days after the US decision.
Last week, Donald Trump’s administration added Huawei to a trade blacklist and said “the company is engaged in activities that are contrary to U.S. national security or foreign policy interest.” That meant banning American firms from selling to Huawei without special approval from the government.
Apple rebounded 2.3% after falling a day earlier. It was the biggest driver of gains in the Dow Jones Industrial Average.
Health care, communications and financial stocks also helped drive the market higher Tuesday.
As of 20:35 GMT (16:35 ET), the Dow Jones Industrial Average rose 0.77% to finish at 25,877.33 points.
The S&P 500 index gained 0.85% to 2,864.36 points and the Nasdaq Composite Index climbed more than 1% to end the session at 7,785.72 points, erasing a good chunk of Monday’s hefty losses.
Currently, the dollar index, which is the performance of the US dollar
against 6 major currencies, rose 0.11 percent to 97.86.