(CNBC) — U.S. stocks jumped on Tuesday, building on a strong rally in the previous session as concerns about a speculative retail trading frenzy continued to ease.
The Dow Jones Industrial Average climbed about 475.57 points, or 1.6%, to 30,687.48 for its best daily performance since November. The S&P 500 gained 1.4% to 3,826.31, pushing its two-day rally to 3%. The tech-heavy Nasdaq Composite popped 1.6% to 13,612.78, bringing its week-to-date gains to more than 4%.
The back-to-back advance in the broader market coincided with a sharp reversal in GameStop, the video game stock that captivated Wall Street with its massive short squeeze coordinated by a band of retail investors on social media. GameStop, fresh off a 400% rise last week, fell another 60% Tuesday. The stock has lost more than 70% of its value since Friday.
