Sydney, Australia - Wall Street stocks climbed on Monday and the dollar stabilized against safe haven peers as signs of progress in U.S.-China trade talks show hopes a global recession can be avoided, although details remain lacking.

Geopolitical tensions also appear to be easing a fragile ceasefire between India and Pakistan, while Ukrainian President Volodymyr Zelenskyy said he was preparing to meet with Russian President Vladimir Putin on Thursday.

In Geneva, U.S. Treasury Secretary Scott Bessent touted "substantial progress" in trade discussions, while Chinese officials said the two sides had reached "important consensus" and agreed to launch another new forum for economic dialogue.

A joint statement is expected to be issued later on Monday, although it is worth noting that neither side specifically mentions the tariff rate.

"Then, we seem to have a broad framework here where the two countries can negotiate further to reach a broader trade agreement," said Michael Brown, senior research strategist at Pepperstone.

"This is not the worst result from this weekend's speech, far from that, but not a specific deal," he added. "Does this progress allow any tariffs to be suspended, reduced or backed, and if so, how long will it take?"

Investors hope the White House will soon expand 145% tariffs on Chinese goods, even if it only returns to 60% that President Donald Trump first marked.

Trump still seems to be trying to keep widespread tariffs that will delay economic growth and raise prices anyway, but any trade progress can help avoid a sharp decline.

The market reaction was driven by pushing the S&P 500 by 1.2%, while Nasdaq futures grew by 1.4%. Eurostoxx 50 futures were stable by 0.9%, while FTSE futures increased by 0.4%, and DAX futures futures were 0.7%.

Japan's Nikkei accounted for 0.3%, while South Korea's Kospi rose 0.4%.

China Blue chip fixed at 0.8%, although weekend data showed factory ticket prices fell the highest in the six months in April, while consumer prices fell for the third month.

The dollar rose 0.4% to 145.90 on the safe haven yen, despite an early peak of 146.31 in the five-week period. The euro fell 0.2% to $1.1224, while the U.S. dollar index rose 0.2% to 100.60.

The dollar fell 0.2% of the Chinese yuan at sea and fell to 7.2278 and returned to last week's low of 7.1846.