The S&P 500 index opened on track for a record high and the Dow Jones Industrial Average gained more than 200 points in early trading Monday. Investors snapped up riskier holdings as the world's two biggest economies agreed to continue trade talks. The U.S. agreed to hold off on imposing new tariffs on $300 billion in Chinese goods, although existing tariffs on $250 billion of imports remain in place.
Chipmakers rallied on plans by the U.S. to loosen some sales restrictions to Chinese telecommunications company Huawei. Broadcom rose 5.2% and Nvidia rose 4.7%. Technology giants Apple and Microsoft also helped lead gains. The gains in the first half of the year were marked by months of volatile trading as investors rode the ups and downs of the trade war. That volatility is unlikely to fade as the U.S. and China head into yet another round of trade talks.
Japan's benchmark Nikkei 225 added 2.1% to finish at 21,729.97. Hong Kong's markets were closed for a holiday. The Shanghai Composite rose 2.2% to 3,044.90.