(CNBC) — Stocks regained their footing to close higher on Tuesday as investors evaluated the tension between the U.S. and North Korea.
The Dow Jones industrial average erased earlier losses to trade about 40 points higher, with United Technologies and Boeing contributing the most to the gains. The index fell as much as 134.82 points earlier in the session.
"I think the market has now taken a more neutral stance to the situation in North Korea," said Mark Luschini, chief investment strategist at Janney Montgomery Scott. The initially sharp downturn maybe was "a function of traders selling first and asking questions later, and then realizing that the situation had not deteriorated further."
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