landsberg bennettStocks finished firmly higher Tuesday, snapping a two-day losing streak amid easing trade tensions. The major averages reversed early session declines amid reports the U.S. will delay the implementation of the proposed September 1st tariffs on Chinese imports. Popular holiday shopping items, such as phones and toys, are set to be excluded until mid-December. The Dow surged 372 points, posting its best session in at least two months. The S&P 500 added 1.5%, while the Nasdaq Composite was up 2%.

Treasuries declined, with the yield on the 10-year note up five basis points to 1.69%. The spread between two- and 10-year yields touched the narrowest since 2007. On the data front, core consumer prices (excluding food and energy), increased at an annualized pace of 2.2% in July, notching a six-month high. A separate release revealed small business optimism improved last month. In commodities, WTI crude climbed 4% to $57.10/barrel, while COMEX gold erased early session gains to finish 0.2% lower at $1,502.20/ounce.

Technology shares paced gains, with the sector rallying 2.5% following the positive trade rhetoric. Apple climbed more than 4%, while the Philadelphia Semiconductor Index also outperformed, up nearly 3%. The news of potential tariff delays on Chinese goods also provided a tailwind to retailers, with Nike rising 2.1%. In earnings, JD.com jumped 12.9% after topping analyst profit and revenue estimates. In other corporate news, Constellation Brands gained 1.8% after announcing the sale of its Canadian whiskey business for $266 million.