Stocks surge around the world

Technology companies and retailers drive U.S. gains as investors become optimistic.

Stocks around the world jumped on Tuesday, and the Standard & Poor’s 500 had one of its best days of the year, as markets put a shaky last couple of weeks further behind them.

Shares of technology companies and retailers helped lead the way in the United States. And with markets in a less-nervous mood, prices for Treasury bonds, gold and other go-to investments for turbulent times fell.

The Standard & Poor’s 500 rose 24.14 points, or 1 percent, to 2,452.51 for its fourth-biggest gain of the year. It’s taken just two days for the index to recoup half the loss it sustained in the two weeks since setting a record on Aug. 7. Those two weeks were a jolt for markets, as worries rose about political strife in Washington and abroad.

The Dow Jones industrial average rose 196.14 points, or 0.9 percent, to 21,899.89 on Tuesday, and the Nasdaq composite gained 84.35, or 1.4 percent, to 6,297.48.

It’s the latest example of investors seeing drops in the market as opportunities to buy, not reasons to unload stocks.

“We’ve seen these blips of volatility this year, and we have tended to calm down very quickly afterward,” said Jon Adams, senior investment strategist at BMO Global Asset Management.

He pointed in part to increased optimism that Washington will avoid a default on the federal debt. The Senate’s majority leader said on Monday there is “zero chance” that Congress will vote against increasing the country’s borrowing limit.

Many analysts are expecting markets to drift sideways in upcoming weeks, with few market-moving events on the calendar.

Technology companies led the way, and those in the S&P 500 rose 1.5 percent for the biggest gain among the 11 sectors that make up the index.

Macy’s jumped to one of the largest gains in the index after it said an eBay executive, Hal Lawton, would become its president. Traditional retailers have been struggling to compete with online rivals, and Macy’s also said it is restructuring its organization to drive more sales and cut costs. Its stock rose 89 cents, or 4.6 percent, to $20.42.

Markets abroad were likewise strong. In Europe, Germany’s DAX jumped 1.4 percent, France’s CAC 40 rose 0.9 percent and the FTSE 100 gained 0.9 percent in London.

In Asia, Hong Kong’s Hang Seng climbed 0.9 percent, South Korea’s Kospi added 0.4 percent and the Nikkei 225 in Japan was virtually flat.

Benchmark U.S. crude rose 27 cents to settle at $47.64 per barrel. Brent crude, the international standard, gained 21 cents to settle at $51.87 a barrel.