Investing.com -- The S&P 500 closed higher Tuesday after swinging between gains and losses as investors weighed another slump in consumer confidence and an Tesla-led rally in tech.

At 4:00 p.m. ET (16:58 GMT), the Dow Jones Industrial Average gained 4 points, or 0.01%, the S&P 500 index climbed 0.2%, and the NASDAQ Composite gained 0.5%.

Consumer confidence falls to lowest level since early 2021

The Conference Board’s consumer confidence index fell to a reading of 92.9 down from an upward revised 100.1 in the prior month amid ongoing concerns about a tariff-induced slowdown.

"The data today add evidence to the case that the economy has cooled from the torrid pace of consumer-driven growth of the past 18 months," Jefferies said in a note.

Signs of a cooling economy come just days ahead of a key inflation reading later this week.

PCE price index data- which is the Federal Reserve’s preferred inflation gauge- is due on Friday. The print, particularly core PCE data, is widely expected to have remained above the Fed’s 2% target in February.

Before that, a revised reading on fourth-quarter gross domestic product is due on Thursday, while home prices and sales data are due on Wednesday.

Tariff uncertainty

Investor optimism continues to be fueled by hopes that U.S. President Donald Trump will be more flexible with his tariff agenda.

Bloomberg and the Wall Street Journal reported over the weekend that only some of Trump’s sectoral tariffs will be imposed on his April 2 “liberation day,” and that his reciprocal tariffs will also be more concentrated than previously expected.

Trump, however, still kept up his tariff threats, adding on Monday that he will impose tariffs on automobiles, pharmaceuticals, and aluminum in the “very near future,” and said duties on lumber and semiconductors will follow down the road.

The European Union trade commissioner is due to meet with U.S. officials in Washington later this session, according to media reports citing an EU spokesperson. Earlier this month, the bloc delayed planned retaliatory tariffs on U.S. steel and aluminum levies in a bid to buy more time for talks with the Trump administration.

Markets are still waiting to see just how Trump’s tariff agenda will play out, and how it will impact the global economy.

Ukraine peace talks

Delegations from the U.S. and Ukraine are set to meet in Saudi Arabia following talks between the U.S. and Russia earlier this week.

In a nightly video address, Ukrainian President Volodymyr Zelenskiy said that the discussions would take place on Tuesday.

The Trump administration on Tuesday, meanwhile, agreed to help Russia boost exports of its grain and fertilizer to global markets, as part of a deal between Russia and Ukraine to halt the use of force in the Black Sea.

Tesla shines despite sales slump in Europe

In the corporate sector, Tesla (NASDAQ: TSLA ) stock was more than 3% higher, even after data showed European sales slumped just over 40% in February as the electric car maker grappled with tough competition and growing ire towards the political activities of CEO Elon Musk.

The company’s market share in the region also shrank to 1.8% from 2.8% a year earlier, data from the European Automobile Manufacturers’ Association showed on Tuesday.

Tesla’s shares are down over 30% year-to-date.

CrowdStrike Holdings Inc (NASDAQ: CRWD ) jumped more than 3% after BTIG upgraded the stock to buy from neutral, citing optimism over improved visibility following IT outage eight months ago.

Mobileye Global Inc (NASDAQ: MBLY ) climbed more than 8% after teaming up with Volkswagen (ETR: VOWG_p ) to boost the German automaker’s assisted and autonomous driving technology.

(Peter Nurse, Ambar Warrick contributed to this article.)