US stocks rose higher on Tuesday as positive economic data offset the OECD's warning of the economic damage from President Trump's tariffs .

The S&P 500 ( ^GSPC ) rose 0.4% in mid-morning trade, while the Dow Jones Industrial Average ( ^DJI ) moved about 0.3% higher. The tech-heavy Nasdaq Composite ( ^IXIC ) gained around 0.8% on the heels of an upbeat start to the week for the major gauges .

Small caps also saw a boost with the Russell 2000 ( ^RUT ) climbing over 1%.

A JOLTS update showed that job openings unexpectedly rose in April as tariff hikes took effect. The hiring rate also rose, signaling the jobs market remains in a stable position. With 7.39 million jobs open at the end of the month, the report sets the stage for the all-important May jobs report , which is set for release on Friday.

Earlier on Tuesday, OECD slashed its outlook for global economic growth, citing the impact of Trump's trade policy on investment and confidence. The US economy will slow particularly sharply, the OECD forecast, going from 2.8% growth last year to only 1.6% this year and 1.5% in 2026.

In another sign of trade war taking a toll, China's manufacturers suffered their worst slump since 2022 in May. Tariff hikes had an impact on smaller exporters despite the US-China trade truce, a private survey found.

Countries need to act fast to seal deals to lower trade barriers, the OECD urged. Trump is reportedly pushing trade partners for their "best offers" by Wednesday, as deadlines for the implementation of "reciprocal" tariffs loom. But progress in trade talks with key nations seems to have stalled as US-China tensions simmer amid hopes for a call between Trump and President Xi as soon as this week.

Read more: The latest on Trump's tariffs

Meanwhile, with nearly all of the S&P 500 companies having finished reporting their results, earnings season is coming to an end. On Tuesday, CrowdStrike ( CRWD ), Asana ( ASAN ), and Hewlett Packard Enterprise ( HPE ) will issue their reports.