LIVE MARKETS-US stocks extend gains on trade optimism

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U.S. EXTEND GAINS ON TRADE OPTIMISM

The S&P 500 .SPX and Nasdaq .IXIC opened at fresh record highs on Monday, as optimism over the United States striking trade deals with its key partners fueled bullish momentum, keeping the indexes on track for strong quarterly gains.

Of note, Canada scrapped its digital services tax targeting U.S. tech firms, just hours before it was due to take effect, in a bid to advance stalled trade negotiations with the United States.

Overall, however, changes in the major indexes and S&P 500 index sectors are relatively modest.

The Dow .DJI is leading the major indexes higher with a gain of only around 0.3%.

Communication services .SPLRCL, up about 0.6%, is the top performing S&P 500 sector, while utilities .SPLRCU, off about 0.5%, is taking the biggest hit.

That said, beside the S&P 500 and Nasdaq composite, the Nasdaq 100 .NDX, NYSE Composite .NYA and NYSE FANG+ index .NYFANG are all on track to score record closing highs.

In terms of S&P 500 sectors, industrials .SPLRCI, communication services, tech .SPLRCT, and financials .SPSY are all on pace to score record closes.

Under the surface, big banks .SPXBK are also on pace for a record close.

The DJI is last down 2.3% from its December 4, 2024 record finish, while the small-cap Russell 2000 .RUT is down about 11% from its November 8, 2021 record close.

Meanwhile, on the last trading day of Q2, the S&P 500 index is now up more than 10% for the quarter, which is its biggest quarterly rise since an 11.2% advance in Q4, 2023.

Here is a snapshot of where markets stood just shortly after 10:00 a.m. EDT:

(Terence Gabriel)

EARLIER ON LIVE MARKETS:

S&P 500 INDEX TRADERS TENSE GIVEN TREND LINE, TIME PROJECTION CLICK HERE

THE END OF U.S. EXCEPTIONALISM GETS MORE COMPLICATED CLICK HERE

SECTOR DIVERGENCE SUGGESTS US RALLY BROADENING, BUT NOT ALL-ENCOMPASSING - SAXO CLICK HERE

WHAT DOES THE RECENT OIL PRICE SPIKE 'FEEL LIKE? CLICK HERE

RALLY RUNS OUT OF STEAM; BANKS AND RENEWABLES DRAG ON STOXX CLICK HERE

EUROPE BEFORE THE BELL: A RALLY ON SHAKY GROUNDS? CLICK HERE

RISK FLOWS AS TRADE TALKS UNCLOG CLICK HERE