Wall Street rose modestly on Tuesday, led by gains in the consumer discretionary sector after McDonald's posted earnings above Wall Street's estimates. Stocks wavered between small gains and losses as energy shares weakened after China's central bank raised interest rates to tackle inflation.
But the market brushed off the news by midday and resumed the rally that has pushed the Dow and the S&P to their highest in 2 1/2 years. Dow component McDonald's Corp posted stronger-than-expected global sales at established restaurants as demand in Europe rebounded. The stock rose 3 percent to $65.67.
The Dow Jones industrial average was up 35.57 points, or 0.29 percent, at 12,197.20. The Standard & Poor's 500 Index was up 2.60 points, or 0.20 percent, at 1,321.65. The Nasdaq Composite Index was up 1.50 points, or 0.05 percent, at 2,785.49.
The S&P consumer discretionary index was up 0.6 percent and was the top performing among S&P 500 sectors.