U.S. stocks are leaping Monday after China and the United States announced a 90-day truce in their trade war. They agreed to take down most of their tariffs that economists warned could start a recession and create shortages on U.

Stocks popped in early trading Monday after the United States and China agreed to dramatically lower tariffs for 90 days. The S&P 500 surged 2.8 percent, the Dow Jones Industrial Average jumped 2.3 percent, and the tech-heavy Nasdaq soared 3.8 percent in premarket trading.