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STORY: U.S. stocks closed sharply higher in a broad rally on Tuesday after data signaled a solid economy.

Though investors braced for volatile trading this week as voting was underway in an extremely tight U.S. presidential election.

The Dow climbed one percent while the S&P 500 and the Nasdaq rose more than that.

The Institute for Supply Management said its survey of the services sector accelerated to its highest level last month in more than two years.

Meanwhile, the election outcome could take days to be finalized as the latest polls showed the race between Donald Trump and Kamala Harris was too close to call.

Ross Mayfield, investment strategy analyst with Baird says regardless of the result, the outlook for stocks remains very positive.

“You have all of this anxiety about the election set against a very favorable backdrop for the market, strong earnings, soft landing, Fed looking to cut rates this week as well. And so, in absence of some other catalyst, I think the trend is going to be higher.”

Stocks on the move included Palantir which surged 23% and hit a record high after the data analytics firm raised its annual revenue forecast for the third time.

And Trump Media and Technology which slipped one percent.