In a remarkable surge within the stock market, technology shares around the world experienced substantial increases on Monday after the United States and China reached an unexpected agreement to suspend most of their reciprocal tariffs.

This decision, which alleviates trade tensions between the two largest economies globally, revitalized global technology markets.

During a single trading session, the market capitalization gains for the so-called 'Magnificent Seven' tech companies amounted to approximately $837.5 billion, marking the strongest collective move for this group since April 9.

Shares of major technology firms benefitting from Chinese supply chains rose sharply, with Amazon’s stock increasing by 8% and Apple’s stock climbing by about 6%.

Notably, Apple had previously indicated that the tariffs would have added $900 million to its costs for the current quarter.

Semiconductor companies emerged as some of the largest beneficiaries of the agreement, with stocks of TSMC, Nvidia, AMD, and Intel rising between 5% and 6%.

Additionally, European semiconductor equipment supplier ASML saw its shares increase by 6%.

In parallel, technology stocks from Chinese firms listed in the United States showed notable gains.

Shares of Alibaba, JD.com, and Baidu rose significantly, as the Chinese technology sector index jumped by 8% after a previously postponed investor day due to economic uncertainties.

Market analysts provided optimistic outlooks regarding the implications of this trade truce.

Daniel Ives, Head of Global Technology Research at Wedbush Securities, characterized the suspension of tariffs as a genuine breakthrough in the trade conflict.

He suggested this may position the market for new heights by 2025 if negotiations continue towards a broader agreement.

Ives remarked that the current market climate seemed promising for bullish investors, setting an upward trajectory for the week.