By Yasin Ebrahim

Investing.com — The S&P 500 cut losses Tuesday, as gains in tech offset falling consumer stocks after Target’s warning on profit weighed on investor sentiment.

They rose 0.3%. The gained 0.299% or 94 point, while 0.4% was added.

Target (NYSE:) Reduced its margin guidance to 2.2% for the current quarter from 5.3%. The retailer took measures such as increasing promotional activity in order to reduce excess inventory. This resulted in its stock dropping more than 3%.

Walmart (NYSE 🙂 is another retailer Best Buy (NYSE:) fell by about 2%, putting pressure on the wider consumer discretionary market.

However, the tech stock market’s initial dip was short-lived as tech companies moved to the upside in order to keep the wider market stable.

Apple (NASDAQ:), which was down about 2% in premarket trading, turned positive to trade 1% higher as investors continued to mull the tech giant’s new product announcements including its buy now, pay later product revealed on Monday.

As oil prices rose on speculation that China would ease Covid-19 restrictions, rising energy stocks was also an important catalyst for the market recovery.

APA (NASDAQ :), ConocoPhillips (NYSE 🙂 Exxon Mobil (NYSE) and the largest sector gains were made by the Evercore Upgrade to Outperform From Inline. This upgrade citing attractive valuations lifted the stock. It raised the price target for the stock by $120, from $88.

An increase of 4% in Novavax (NASDAQ:) Health care stocks rose after drugmaker Abbott announced that Tuesday’s Food and Drug Administration panel would meet to discuss whether the vaccine Covid-19 will be approved.

Also, Robinhood Markets (NASDAQ:) The stock plummeted nearly 7 percent on news that the U.S. Securities and Exchange Commission will end plans for an auction-style system to boost competition for trading orders. This could be a blow for Robinhood, which heavily relies on market maker rebates and payments for order flow.