GTOM said:
And what makes that stabile? At the end farer from planet, bigger speed than lower end, but weaker gravity field. Wouldnt that rotate further until it oscillate around parallel position?
Velocities are a distraction. That's just initial conditions. You want to focus on dynamics. The only force acting here is gravity.
(image credit R.Verrault, w/modifications)
The centre of mass C experiences just the right gravitational acceleration g
MC to keep the rod in orbit.
Due to the inverse square dependence on distance, the mass element m at the near end will experience stronger gravity g
M than the centre of mass, while the far end will experience weaker gravity, g'
M.
The rod is rigid, so all of its parts are kept in orbit by the same centripetal acceleration g
MC as the centre of mass.
From the CM point of view, there is a pair of tidal forces pulling on the ends of the rod along the radial direction r
MC.
You can decompose each of the forces on the ends of the rod to get a pair of components. One acting along the length of the rod - which tries to stretch it - the other providing torque. The latter disappears only when the rod is fully aligned radially towards the central body.
Much like with a pendulum, any overshooting of the equilibrium position gives rise to a restoring force with opposite direction.
Providing there is some way to dissipate energy, the rod will eventually come to a rest, pointing towards the central body.
This is how tidal locking works.