An illuminated sign in downtown Toronto shows Tuesday's market gains. (Robin Rowland/CBC)A late-session massive buying spree by investors sent stock markets in Canada and the United States shooting higher on Tuesday.

The S&P/TSX composite index posted its fourth-largest point gain ever and matched its third biggest gain in percentage terms, as it rose 614.29 points, or 7.2 per cent, to close at 9,151.63.

A woman braces against the chill wind on Toronto's King Street Wednesday as an electronic board records the TSX rally. (Robin Rowland/CBC)The big move in Toronto came just one day after the TSX lost 756.75 points or 8.14 per cent, much of it in a late-day retreat, to close at 8,537.34. That was the index's lowest close in more than four years. Monday's drop, in terms of percentage, was the second-largest on record.

"Volatility clearly remains very high," Paul Thornton of Global Maxfin Investments told CBC News.

The energy sub-index was up 7.7 per cent, while the financial services group rose by 6.95 per cent. The gold group added 13.5 per cent even though gold closed down $2.40 US an ounce at $739.30 US.

S&P/TSX composite index On Wall Street, the Dow Jones industrial average rose by 889.35 points, or 10.9 per cent, to settle at 9,065.12.

The move came one day ahead of an expected interest rate cut by the U.S. Federal Reserve.

The broader S&P 500 index gained 91.58 points to close at 940.50 points, while the Nasdaq composite index added 143.57 points to close at 1,649.47.

The Canadian dollar rose 0.37 of a cent to close at 77.96 cents US.