Stocks ticked higher on Monday as market participants held on to cautious hopes that the United States and Iran may be moving forward toward a ceasefire.
The Dow Jones Industrial Average (NYSE: DIA) climbed over 160 points to settle at 46,669.39, while the S&P 500 Index (NYSE: SPY) and Nasdaq Composite (NASDAQ: QQQ) each added about 0.5% to end the session at 6,611.99 and 21,996.33, respectively.
The market is coming off a strong performance last week, with all three major averages snapping five-week losing streaks as headlines surrounding the U.S.-Iran caused wild market swings throughout the week. The broader market S&P 500 gained 3.4%, while the Dow advanced 3% and the Nasdaq jumped 4.4%.
The session's gains were kept in check by threats President Donald Trump made on Sunday against Iran's power plants if the Strait of Hormuz is not reopened by Tuesday. Several reports on Monday pointed towards both sides engaging in ceasefire talks. Oil futures, meanwhile, ticked higher with Brent Crude futures settling around $110 per barrel, while West Texas Intermediate futures traded at $113 per barrel.
Monday's session was also the first trading day since the release of March's stronger-than-expected jobs report on Friday, as all markets were closed in observance of Good Friday in the U.S. Nonfarm payrolls gained by a seasonally adjusted 178,000 for the month, the Labor Department reported Friday, reversing February's 133,000 decline. The unemployment rate also unexpectedly ticked lower to 4.3%.
Separately, JPMorgan Chase CEO Jamie Dimon wrote in his annual letter to shareholders released Monday that the U.S. needs to recommit to its founding ideals as the economy works to navigate through geopolitical concerns and the broader impact of artificial intelligence on the labor market.
"The challenges we all face are significant. The list is long but at the top are the terrible ongoing war and violence in Ukraine, the current war in Iran and the broader hostilities in the Middle East, terrorist activity and growing geopolitical tensions, importantly with China," Dimon said. "Even in troubled times, we have confidence that American will do what it has always done -- look to the values that have defined our singular nation and sustained our leadership for the free world."
Elsewhere, BlackRock (NYSE: BLK) said in a filing with the U.S. Securities and Exchange Commission (SEC) on Monday that the asset manager plans to launch an exchange-traded fund tracking the Nasdaq 100, competing directly with the Invesco QQQ Trust -- which has $376 billion in assets under management. The new fund will trade under the ticker IQQQ.
"Expanding access to the Nasdaq-100 is intended to be additive, supporting investors by improving the efficiency, liquidity, and availability of benchmark-linked exposures across markets and product types," Nasdaq said in a statement following the filing.
Looking ahead, market participants will continue to monitor headlines for signs of a ceasefire in the Middle East on Tuesday.