Shares of banks and other financial institutions rose amid hopes that moderating energy inflation and Treasury yields would alleviate credit-market stress.
The yield on the policy-sensitive two-year Treasury fell to the lowest level since May ahead of the Federal Reserve's Wednesday statement.
Shares of private-credit firms such as Blue Owl and Blackstone rose.
Online brokerage Robinhood Markets said it would slash 10% of its workforce, its first major layoff in three years.
Write to Rob Curran at rob.curran@dowjones.com
