The ASX delivered a stunning turnaround on Tuesday, turning what was supposed to be another black day for traders into its biggest gain in three years. The S&P/ASX 200 dived 3.6 per cent at the open to 5538.9 points, its lowest point since December 2018, after Wall Street tumbled 7 per cent overnight.

However, a sudden improvement in US futures - driven by White House promises of an economic stimulus package - enticed bargain hunters back into the market and rescued the ASX from a technical bear market. The index gained 400 points to close at 5939.6 points, a gain of 3.1 per cent, and the biggest one-day jump since November 10, 2016. The trading range was the largest in 20 years and exceeded ranges experienced during the global financial crisis.

The financials sector gained 4.7 per cent as banks notched their biggest one-day gains since the Coalition won power in May 2019. The information technology sector gained 4.6 per cent and materials gained 4 per cent.

Real estate underperformed, with a decline of 0.8 per cent and utilities dipped 0.6 per cent.