Stocks rallied higher on Monday, with both the Dow Jones Industrial Average and S&P 500 reaching record closing highs, as investors were encouraged by both economic recovery and reopening trends. Tech names outperformed the broader market as investors began to rotate out of names that benefit from the "stay-at-home" economy, and back into megacap FAANG stocks.

Inflation concerns still weighed on the market however, as the U.S. Treasury yield rose around recent highs. The benchmark 10-year U.S. Treasury yield traded as high as 1.639% during Monday's session, close to Friday's high of 1.642%. Rates fell later in the session to 1.61%.

Here's how the market settled to start the week:

S&P 500 Index (SPY  ): +0.64% or +25.43 points to 3,968.77

Dow Jones Industrial Average (DIA  ): +0.53% or +173.64 points to 32,952.28

Nasdaq Composite Index (QQQ  ): +1.05% or +139.84 points to 13,459.71

For Stocks, major U.S. airlines--American Airlines (AAL  ), Delta Air Lines (DAL  ), and United Airlines (UAL  )--rose higher Monday after domestic air travel over the weekend reached its highest level in over a year. AMC Entertainment (AMC  ) shares spiked on Monday after the company announced that it will begin reopening its theater locations throughout California this week.

For Sector Performance, Financials (XLF  ) and Energy (XLE  ) were the only sectors that fell into negative territory on Monday. The session's performance gains were led by Utilities (XLU  ), Real Estate (XLRE  ), Consumer Discretionary (XLY  ) and Information Technology (XLK  ), each rallying over 1%.

For Commodities and Currency, the U.S. Dollar (UUP  ) rose for its third straight session on Monday as traders grew cautious towards the Federal Reserve's policy meeting this week, dumping riskier currencies in favor of the safe haven greenback. The dollar index, which tracks the currency against six rival currencies, was up 0.1% at 91.799 on the day. Gold (GLD  ) prices also increased ahead of the central bank's meeting and as Treasury yields eased from recent highs. Spot gold was up 0.2% at $1,729.94 per ounce, while U.S. gold futures settled 0.5% higher at $1,729.20 per ounce. Crude oil prices slipped on Monday despite positive demand outlooks as falling Treasury yields eased on inflation concerns. International benchmark Brent Crude (BNO  ) declined to $68.88 per barrel, while domestic index West Texas Intermediate (USO  ) settled 0.34% lower at $65.39 each.

For Tuesday, market participants will turn their attention to fresh retail sales data for the month of February. Investors are also looking ahead for the Federal Reserve's latest policy decision for interest rates on Wednesday.