Stocks extended modest gains by the final hour of trading on Tuesday as crude oil closed above $47 a barrel. 

The S&P 500 added 0.43%, the Dow Jones Industrial Average rose 0.47%, and the Nasdaq gained 0.49%.

Crude oil prices moved higher after an oil worker strike in Brazil continued. The strike has slowed daily output by 25% in the world's ninth-largest oil-producing region. Oil was also on watch ahead of Wednesday's weekly domestic inventories data. West Texas Intermediate crude closed 3.8% higher at $47.90 a barrel on Tuesday.

A surge in Chevron (CVX - Get Report) and Exxon Mobil (XOM - Get Report) shares boosted the Dow, while other major oilers including Schlumberger (SLB - Get Report) , Royal Dutch Shell (RDS.A - Get Report) , BP (BP - Get Report) and Total (TOT - Get Report) added to the S&P 500. The Energy Select Sector SPDR ETF (XLE - Get Report) climbed 3.1%. 

Factory orders in the U.S. fell 1% in September, narrower than the 2.1% slump recorded in August. Economists had expected orders to decline 0.9%. Excluding transportation, orders fell 0.6%, slightly narrower than a 1.1% decline a month earlier.

Car sales enjoyed a double-digit percentage bump in October. Fiat Chrysler (FCAU - Get Report) posted a 15% jump in U.S. car sales in October. Its Jeep model, in particular, was a hot seller, posting a 33% sales spike. Sales were also boosted by an October with five weekends compared to four a year earlier.

General Motors (GM - Get Report) also posted a better-than-expected October. The Detroit automaker reported a 16% increase in car sales compared to an expected 12% increase. Ford (F - Get Report) sales rose 13.4% last month. However, the reading was slightly lower than an expected 14.2% increase in sales.

King Digital (KING) spiked more than 14% after Activision Blizzard (ATVI - Get Report) agreed to buy the video game maker in a deal worth a total $5.9 billion. The offer of $18 a share is a 20% premium to King Digital's closing price on Monday. The acquisition brings together Activision, the maker of popular role-playing game Call of Duty, with the creator of mobile app game Candy Crush.

Sprint (S - Get Report) said its second-quarter loss widened from a year earlier to 15 cents a share from a penny a share a year earlier. Analysts had expected a net loss of 7 cents. The telecom generated revenue of $7.98 billion, below estimates of $8.12 billion. However, wireless net additions rose significantly as promotional efforts paid off. Additions jumped 1.06 million, up from 675,000 a year earlier.

FitBit (FIT - Get Report) fell more than 6% after announcing that it will offer 21 million shares in a stock offering. The company plans to sell 7 million of its own shares and 14 million from existing shareholders. The wearables company also said lockup restrictions for 2.3 million shares will end on Nov. 4.

Avis Budget (CAR - Get Report) slumped after missing analysts' quarterly estimates on its top- and bottom-lines. The rental car company earned $1.98 a share, 4 cents below estimates, while revenue of $2.58 billion fell shy by $20 million.

Kellogg (K - Get Report) fell more than 3% after quarterly sales dropped 9% on a stronger U.S. dollar. Revenue of $3.3 billion fell short of expectations of $3.42 billion. Adjusted profit of 85 cents a share was a penny above estimates.

Archer Daniels Midland (ADM - Get Report) slipped 6% after reporting quarterly profit of 60 cents a share, a dime below forecasts. The agricultural company said a stronger dollar and weaker ethanol profit margins contributed to the below-consensus results.

AIG (AIG - Get Report) slid 4% after missing quarterly estimates by a mile. The insurance company earned 52 cents a share, nearly half estimates of $1.03. The company is facing increased pressure to address structural problems after activist investor Carl Icahn pushed for a breakup.

American Eagle Outfitters (AEO - Get Report) jumped 8% after announcing it had acquired Tailgate Clothing Company for $11 million, a sports line that aligns with the retail chain's brand. The company also said third-quarter comparable-store sales rose 9%.