US stocks open higher amid eased trade tensions


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US stocks opened higher on Monday as investors cheered an easing of trade tensions between China and the United States.

Shortly after the opening bell, the Dow Jones Industrial Average jumped 297.65 points, or 1.20 percent, to 25,012.74. The S&P 500 gained 21.88 points, or 0.81 percent, to 2,734.85. The Nasdaq Composite Index rose 70.48 points, or 0.96 percent, to 7,424.82.

US Treasury Secretary Steven Mnuchin said on Sunday that the United States and China have reached a deal on a "very important" framework concerning their economic and trade ties, and the two sides have agreed to put a possible trade war on hold.

He added that the two sides will continue with their communications on trade issues.

China and the United States issued a joint statement on Saturday on the economic and trade consultations, vowing not to launch a trade war against each other.

The two sides agreed to take effective measures to substantially decrease the U.S. trade deficit with China.