Hang Seng Index, Nifty 50, Kospi, Nikkei 225

of Japan Nikkei 225 breached the 50,000 mark for the first time on Monday, leading regional gains as investors welcomed progress in US-China trade talks and strong momentum from Wall Street. The benchmark index rose more than 2%, while the Topix added 1.61%.

South Korea’s Kospi jumped 1.83 percent after hitting a record high on Friday, while the small-cap Kosdaq added 0.72 percent.

Other Asia-Pacific markets also traded higher on Monday after top trade negotiators from the US and China laid out a framework on several controversial issuespaving the way for US President Donald Trump and Chinese President Xi Jinping to sign the terms.

US Treasury Secretary Scott Bessant said in an interview with CBS News On Sunday, that Trump’s proposed 100% tariffs on Chinese imports have been “effectively rejected.” He added that China is expected to make significant purchases of soybeans and delay broad restrictions on rare-earth exports. However, the US will retain its current control over China’s exports, Bessent noted.

The future of Hong Kong Hang Seng Index indicated a stronger open, trading at 26,256 against the index’s previous close of 26,160.15.

Australia’s ASX/S&P 200 traded 0.54% higher at the open.

Last Friday, all three major averages closed at record highs as great inflation data fueled optimism among investors that the Federal Reserve could continue on its path to cut interest rates, boosting the U.S. economy and justifying higher stock valuations.

The Dow Jones Industrial Average rose 472.51 points, or 1.01%, to 47,207.12, securing its first close above the 47,000 level so far. The S&P 500 added 0.79% to 6,791.69, while Nasdaq Composite rose 1.15% to 23,204.87.

Investors are also looking ahead to a widely expected rate cut by the Federal Reserve and a slew of Big Tech earnings reports.

— CNBC’s Sean Conlon and Pia Singh contributed to this report.