Stocks posted a back-to-back rally as the trading frenzy that fueled a surge in heavily shorted shares crumbled. Investors also sifted through a batch of corporate earnings.
After the close of regular trading, both Alphabet Inc. and Amazon.com Inc. reported better-than-estimated revenue, with the online-retail giant saying Chief Executive Officer Jeff Bezos will step down from his post. All major groups in the S&P 500 rose on Tuesday, with financial and industrial companies leading the charge. United Parcel Service Inc. climbed as the courier reported a surge in profit, while Exxon Mobil Corp. rose on a pledge to safeguard dividends. Meanwhile, the speculative trades popular with Reddit crowds crumbled, with GameStop Corp. and AMC Entertainment Holdings Inc. tumbling at least 41% as silver sank from an eight-year high.
