Yellen Sends Stocks to Highest Level of 2016

The S&P 500 closed at its highest in 2016 on Tuesday, recovering from its worst January in eight years, after Federal Reserve Chair Janet Yellen said the central bank should proceed "cautiously" on raising interest rates - music to Wall Street's ears.

The Dow Jones industrial average <.DJI> rose 97.72 points, or 0.56 percent, to 17,633.11, the S&P 500 <.SPX> gained 17.96 points, or 0.88 percent, to 2,055.01 and the Nasdaq Composite <.IXIC> added 79.84 points, or 1.67 percent, to 4,846.62.

(Reporting by Chuck Mikolajczak; Editing by Nick Zieminski)