US equity markets opened higher on Monday, with the Nasdaq Composite gaining 0.51% as technology shares led the advance.
The rally marks a continuation of the broad-based risk-on sentiment that emerged earlier in the session, driven by growing optimism over geopolitical stability in the Middle East.
Investors are closely monitoring reports that the United States and Iran have agreed to halt recent military exchanges and return to diplomatic negotiations.
This potential de-escalation has significantly reduced tail risks for global supply chains and energy markets, prompting a sharp rebound in risk appetite across US equities.
The technology sector, which had faced pressure amid broader geopolitical uncertainty, has been the primary beneficiary of the improved sentiment.
The market's positive tone reflects a shift from defensive positioning to growth-oriented assets.