(MENAFN) The New York Stock Exchange concluded Monday’s session on a strong note, fueled by growing optimism that friction in trade relations between the United States and China might lessen.

This positive sentiment was driven by remarks from US President Donald Trump, who assured the public that ties with Beijing "will all be fine."

The Dow Jones Industrial Average advanced by 1.29%, gaining 587.98 points to settle at 46,067.58.

Meanwhile, the Nasdaq Composite surged 2.21%, rising 490.18 points to close at 22,694.61. The S&P 500 also experienced a boost, increasing 1.56% with a 102.21-point gain to finish at 6,654.72.

Investor anxiety appeared to subside, as reflected by a 12.14% drop in the Volatility Index (VIX), commonly known as the "fear index," which decreased to 19.03.

The market's buoyancy was largely in reaction to a social media message President Trump posted on Sunday. In the post, he signaled to investors that he may not follow through on his earlier vow to implement a "massive increase of tariffs" on Chinese imports.

This was a notable shift, considering that just days earlier, Trump had threatened to impose 100% tariffs on Chinese goods in retaliation for restrictions on rare earth exports—an announcement that triggered a sharp downturn in stock prices, erasing $2 trillion in market capitalization.

“Don’t worry about China, it will all be fine! Highly respected President Xi just had a bad moment. He doesn’t want Depression for his country, and neither do I,” Trump stated on the American social media platform Truth Social. “The USA wants to help China, not hurt it.”

Vice President JD Vance echoed similar sentiments during the weekend. In an appearance on Fox News, he indicated that the US is open to negotiations if China is “willing to be reasonable,” while also asserting that America holds “far more cards” should talks fail.

In the corporate arena, shares of semiconductor company Broadcom jumped approximately 10%.

This rally followed news that the company had secured a collaboration with OpenAI, in which Broadcom will supply the artificial intelligence leader with tailor-made chips.

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