US Stocks Close Higher on PPI Data,

Wall Street closed higher on Tuesday as investors maintained positive sentiment about additional signals that US inflation is easing and amid good earnings reports, but retreated from the day’s high after reports of a missile strike in Poland.

NATO and the Pentagon said they were looking into unconfirmed reports that two Russian missiles had landed inside NATO-member Poland. The news sent stocks lower but major indices recovered ground by the closing bell.

The S&P 500 gained 0.9 percent to 3,991.73, while the tech-rich Nasdaq Composite Index increased 1.5 percent to close at 11,358.41. The Dow Jones Industrial Average edged up 0.2 percent to finish the session at 33,592.92.

Equities moved decidedly higher early in the day, rebounding from Monday’s losses after Walmart’s quarterly earnings beat expectations, as did Home Depot’s, while new data showed further signs inflation is slowing.

The US producer price index slowed in October, and the annual PPI eased to 8.0 percent, adding to rising hopes the Fed can slow its prior hawkishness.