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March 15 (UPI) -- U.S. markets rose on Tuesday as oil prices began to recede from record highs brought on by the war in Ukraine. The Dow Jones Industrial Average gained 599.1 points, or 1.82%, while the S&P 500 rose 2.14% to snap a three-day losing streak and the Nasdaq Composite closed the day up 2.92%.
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West Texas Intermediate -- the U.S. crude oil benchmark -- fell below $100 and settled the day around $96 per barrel, down about 27% from a record intraday high of $130.50 last week.
"I fully expect crude oil is going to go back towards $40 or $50 a barrel," Bloomberg Intelligence's Mike McGlone told Yahoo Finance. "From this war, I think we're going to see a significant amount of demand destruction."
Energy stocks suffered Tuesday due to the decline in oil prices, with Exxon Mobil falling 5.69% and Chevron dropped 5.06%.
The spike in energy prices in February drove wholesale goods prices to their largest one-month jump on record with the producer price index rising 0.8% in February from the previous month, the Labor Department reported Tuesday.
However, the core PPI, excluding food, energy and trade services, climbed 0.2%, below the Dow Jones' estimate of 0.6%.
Tech stocks led the rebound Tuesday as Microsoft rose 3.87% and Netflix gained 3.85%. Chipmakers were also on the rise with Nvidia climbing 7.7% while AMD stock gained 6.92%.
Tuesday also marked the start of a two-day meeting for the Federal Reserve, which investors expect will yield the announcement of a quarter-point interest rate hike on Wednesday.
"The market expects seven hikes in 2022. Given the sell off in the commodity markets, there's a little less fear of inflation, and when that's the case, the natural inclination is to go toward growthier sectors," Julian Emanual, senior managing director of equity at Evercore ISI told CNBC.
