U.S. equities closed higher on Tuesday, led by utilities, as investors eagerly awaited the results of the U.S. presidential election.
"We're trying to regain what we lost," said Art Hogan, chief market strategist at Wunderlich Securities. "The concern [in the market] is we don't get a consensus outcome," where the Democrats keep the White House and take the Senate, while Republicans retain a majority in the House. "Any result outside of that ... is a negative for the market."
The Dow Jones industrial average rose more than 100 points before closing about 73 points higher with 3M, McDonald's Travelers contributing the most gains. The index also broke above its 50-day moving average and traded lower earlier in the session.
That said, Adam Sarhan, CEO of 50 Park Investments, remained slightly cautious on Tuesday "because there could still be a Brexit scenario. Nobody knows what the outcome [of the election] is going to be."
The S&P 500 gained 0.38 percent, as utilities gained around 0.7 percent, after briefly trading slightly lower. The index, which snapped its longest losing streak in almost 36 years on Monday, also briefly broke above its 50-day moving average for the first time since Oct. 10.
"I think people are starting to feel better about [the election]," said Robert Pavlik, chief market strategist at Boston Private Wealth. "I think people were looking for a reason to turn positive."
The Nasdaq composite also erased earlier losses, rising 0.53 percent.
"The action today suggests the incumbent party has a strong chance of winning," said Bruce Bittles, chief investment strategist at Baird.
Peter Cardillo, chief market economist at First Standard Financial, said that a surge in the Mexican peso may be improving sentiment in the U.S. stock market. The peso hit its highest level since Sept. 8 against the dollar and traded near 18.44. The Mexican peso has been considered a proxy trade for the U.S. election.