Investors have a lot to be thankful for this holiday-shortened week including the Dow passing the 30,000 milestone for the first time as stocks posted solid gains Tuesday to extend Monday's rally.

The Dow was up more than 400 points, or 1.4 percent, in late morning trading. The blue-chip index hit a new all-time high in the process, finally topping the 30,000 mark.

The latest catalyst: It appears that a formal transition from President Donald Trump to President-elect Joe Biden is finally underway.

News came Monday that the General Services Administration is starting the so-called ascertainment process, which allows Trump administration officials to coordinate with the Biden team. 

And that follows more promising coronavirus vaccine developments on Monday, as well as sources confirming to CNN that former Federal Reserve chair Janet Yellen will be Biden's nominee for Treasury Secretary.

The S&P 500 and Nasdaq were both higher on Tuesday as well. So was the Russell 2000, an index that is home to smaller American companies that are expected to benefit from a rebound in the US economy.

Oil prices rallied as well, lifting big energy stocks like Occidental Petroleum and Marathon Oil.

Shares of travel related companies, such as airlines, cruise lines and hotels, also continued to rebound due to hopes of a more normal economy in 2021. Shares of Carnival, Delta and Marriott were all higher in early trading.

The euphoric trading frenzy for several momentum investments continued as well Tuesday.

(With input from agencies)