By Anora Mahmudova, MarketWatch

NEW YORK (MarketWatch) -- Tuesday's session on Wall Street had all the hallmarks of a "risk-on" trade. Stocks closed moderately higher as estimate-beating earnings aided investors' risk appetite.

Cyclical stocks such as financial and technology companies led the gains on the S&P 500, while investors stayed away from utilities and consumer staples sector stocks, recent market leaders. They closed lower.

Investors shrugged off mildly disappointing housing and consumer confidence reports, while focusing on the Federal Open Market Committee meeting on Wednesday, as well as GDP and jobs reports due to be released later this week.

The S&P 500 (SPX) ended the day 8.9 points, or 0.5%, higher at 1,878.33. Eight of 10 main sectors on the benchmark finished with gains.

The Dow Jones Industrial Average (DJI) closed 86.63 points, or 0.5%, higher at 16,535.37, with Merck & Co. (MRK) leading the gains.

The Nasdaq Composite (RIXF) added 29.14 points, or 0.7%, to 4,103.54. High-growth stocks, such as biotechs and social-network companies, posted solid gains. The Nasdaq Biotechnology index (NBI) rose 2.7%, while Global X Social Media Index ETF (SOCL) gained 2.6%.

Follow MarketWatch's live blog of today's stock-market action.

"Overall, earnings have been much higher than expected, beating vastly lowered expectations," said Paul Zemsky, chief investment officer of Multi-Asset Strategies at ING U.S. Investment Management.

"After the selloffs in the momentum stocks, markets are much more balanced now," he added.

In economic news, consumer confidence dipped slightly in April, coming in below economists' forecasts. Separately, U.S. home-price growth slowed in February for the fourth consecutive month.

In earnings news, Twitter Inc. (TWTR) shares fell nearly 10% in extended hours trading, giving up all of Tuesday's gains, after the microblogging site reported quarterly results. Earnings per share and revenue beat estimates, but Twitter's gain in active monthly active users -- 255 million -- was below expectations. Twitter reports results with focus on user growth: live blog.

EBay Inc(EBAY) reported a loss due to "a discrete tax charge" of $3 billion. Analysts estimated earnings of 67 cent a share. Shares in the company fell 3.8% in aftermarket trade.

Sprint Corp. (S) shares jumped 11% after the company posted a smaller-than-expected loss in the first quarter.

Merck & Co. (MRK) rose 3.6% after it reported higher-than-expected earnings.

Coach Inc. (COH) shares fell 9.3% after the luxury-goods retailer reported weak North American sales.

Shares of Archer Daniels Midland Co. (ADM) dropped 2.6% after the company's first-quarter profit and sales missed analysts' forecasts.

Shares of Amicus Therapeutics Inc. (FOLD) soared 21% to $2.22 after the company announced positive data in a study of a drug to treat patients with Fabry disease.

Gogo Inc. (GOGO) shares slid 22% after AT&T Inc. (T)said Monday it would launch in-flight, high-speed Internet service on airlines, competing with the company. The slide triggered the short-sale circuit breaker on the Nasdaq OMX exchange.

In overseas markets, European markets were higher after an easing in geopolitical tensions between Russia and the West. Late Monday, Moscow assured Washington that it won't invade Ukraine, while reports said Russian troops had left the Ukrainian border and returned to their base. Asia markets closed mixed.

In other financial markets, most metals (GCM4) declined, while oil prices (CLM4) settled lower.

More must-reads from MarketWatch:

Bull market won't die until a recession hits: RBC

Still use Internet Explorer? Don't

Markets gird for return of El Niño

Subscribe to WSJ: http://online.wsj.com?mod=djnwires

SentinelOne (NYSE:S)
Historical Stock Chart
From Feb 2024 to Mar 2024 Click Here for more SentinelOne Charts.
SentinelOne (NYSE:S)
Historical Stock Chart
From Mar 2023 to Mar 2024 Click Here for more SentinelOne Charts.