US markets enjoy biggest one-day gains since 2015 as trade war fears ease

Dow Jones sees third largest gain in history

US stocks had their largest one-day gains in over two and a half years on Monday, with the S&P 500 up 2.7%, as concerns of a trade war between US and China eased.

The country's blue-chip indices saw an improved mood following last week's falls, which saw the S&P 500 suffer its worst weekly performance in more than two years. Instead, the index was up 2.7% on Monday, while the Dow Jones Industrial Average was up 2.9% - its third highest gain in recorded history. Meanwhile, the Nasdaq Composite increased 3.3% as investors flocked back into technology shares. The turnaround comes as US and Chinese officials held talks yesterday in an effort to de-­escalate the chances of a trade war. US Treasury Secretary, Steven Mnuchin, said talks were ongoing i...