US stocks rallied broadly, notching a rebound from Monday's steep slide, as investor jitters were calmed by a bounce in gold prices, upbeat earnings reports and strong housing data.

The Dow Jones Industrial Average gained 157.58 points, or 1.1 per cent, to 14,756.78. The Standard & Poor's 500-stock index rose 22.21 points, or 1.4 per cent, to 1574.57, with all 10 sectors in positive territory. The Nasdaq Composite Index climbed 48.14 points, or 1.5 per cent, to 3264.63.