"There are some tentative signs that fears of an escalation of trade tensions are beginning to ease", Craig Erlam, a market analyst at OANDA, wrote in a note to clients, Reuters reported. The Nasdaq climbed about 3.25 percent as investors were reassured that a damaging trade war might be avoided.
The US last week announced proposed tariffs against China, which sent global markets tumbling.
Tokyo-listed stocks in the semiconductor equipment maker Tokyo Electron closed up 2.9%, as did shares in robot maker Yaskawa Electric Corp. They, along with other industrial stocks, have taken a beating in the wake of Trump's tariffs plans due to their exposure to China.
All three major US indexes were up more than 2 percent on the heels of their worst weekly performance since January 2016.
Wall St surges with third-biggest point gain in history
The tech sector was on pace for its biggest daily percentage gain since January 2016 and financials were poised for their best day since March 2017.
Japan's Nikkei, meanwhile, erased earlier losses of 1.3 per cent to end 0.7 per cent higher.
Just last week, trade relations between the countries were tense, but the proposal for some $60bn (£42.5bn) worth of tariffs would not hit the Chinese economy as hard as first anticipated.
In Toronto, the S&P/TSX Composite Index was up 0.6 per cent to 15,321 points.
Crude oil futures steadied on Monday, supported by a rebound in stock markets and escalating Saudi-Iran tensions. He said he was "cautiously hopeful" of a truce between the two sides.
With nearly all FTSE 100 components higher, the principal drivers of today's outperformance (in terms of points contribution) are RDSB/BP (high oil price, weaker GBP), GSK (M&A), Miners (copper bounce, trade war relief), HSBC (trade war relief), AZN (GSK read-across, weaker GBP) and ULVR/BATS (weaker GBP), all adding at least 4pts a piece.
Brent crude futures were up 9 cents at $70.54 a barrel.
Volkswagen planning new MQB pickup model
Or maybe you remember the cute little Rabbit pickup truck that was built in Pennsylvania in the late 1970s and early 1980s. Volkswagen brand officials want to strengthen sales in regions such as the US with more product designed for local tastes.