Stocks rebound, move higher on economic reports

US stocks jumped Tuesday, recovering much of Monday's losses and picking up momentum from solid economic indicators.

At the closing bell, the Dow Jones Industrial Average was up 98.30 points (0.71 percent) to 13,978.38.

The S&P 500 index climbed 15.51 (1.04 percent) to 1,511.22, while the tech-rich Nasdaq Composite Index rose 40.42 (1.29 percent) to 3,171.59.

In a mid-afternoon market update, Charles Schwab & Co. attributed Tuesday's "solidly higher" returns to economic reports showing US services sector activity rising and the contraction in eurozone business activity decelerating.