US stocks rallied on Tuesday after President Donald Trump temporarily paused tariffs on Mexico and Canada, but not on China, which gave Wall Street a break from escalating trade tensions and helped major indexes snap a two-day losing streak.

The three major stock indexes closed higher on Tuesday, aided by energy stocks, while investors saw reason for optimism for a trade breakthrough between the U.S. and China after President Donald Trump delayed tariffs for Canada and Mexico.

The proposed tariffs, if enacted, would raise annual spending costs for consumers by $835 per American, ING Economics estimated.