Major US stock indexes rose significantly amid continued optimism that the first phase of a trade agreement between the US and China would be signed in the near future.

Traders returned from the Christmas holidays and saw confirmation of the expectations of an imminent trade deal: China's Commerce Department said today that it is in close contact with the United States about the agreement. Last week, US Treasury Secretary Stephen Mnuchin said the first phase of the trade agreement would be signed in early January. US President Donald Trump said Tuesday that the United States and China will hold a ceremony to sign a trade agreement, but did not specify the date or place of the event.

The Mastercard report, which showed that consumers increased their online purchases during the holiday shopping season this year, also boosted optimism, with Internet sales reaching a record high.

Hopes for a breakthrough in a protracted trade war, coupled with a weakening Fed monetary policy and strong U.S. economic data, allowed US stock markets to update record highs over the past few weeks and provided an opportunity for the S&P 500 to record its best results since 2013.

Market participants also received a report from the Department of Labor, which showed that the number of Americans applying for unemployment benefits fell last week in a sign of continued strength in the labor market. According to the report, the number of initial applications for unemployment benefits fell by 13,000 to 222,000, seasonally adjusted for the week ending December 21. Economists predicted that the number of hits would fall to 224,000.

Most DOW components completed trading in positive territory (21 out of 30). The biggest gainers were Apple Inc. (AAPL; + 1.86%). Outsider were the shares of The Boeing Co. (BA; -0.90%).

Almost all S&P sectors recorded an increase. The services sector grew the most (+ 0.7%). Only the health sector showed a decrease (-0.3%).

At the time of closing:

Dow 28,621.59 +106.14 + 0.37%

S&P 500 3,239.92 +16.54 + 0.51%

Nasdaq 100 9,022.39 +69.51 + 0.78%