Stocks rose on Monday, the first trading day of June, as Wall Street shook off increasing tensions in global trade.

The S&P 500 climbed 0.41% to close at 5,935.94, while the Nasdaq Composite advanced 0.67% and ended at 19,242.61. The Dow Jones Industrial Average added 35.41 points, or 0.08%, settling at 42,305.48.

China pushed back against U.S. accusations that it had violated a temporary trade agreement. Instead, the country blamed Washington for failing to uphold the deal — a sign that negotiations between the world's two largest economies are deteriorating.

Tensions reignited following a brief pause after U.S. Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng met in Geneva and agreed to a 90-day suspension of most tariffs. A senior White House official told CNBC's Eamon Javers Monday that President Donald Trump and China's President Xi Jinping are likely to speak this week.

"Conversations between Trump and Xi could prove critical to much needed clarity for the largest economies in the world," said Jay Woods, chief global strategist at Freedom Capital Markets. "If they get clarity, look for another leg higher in this market and talk of new all-time highs. If this back-and-forth goes on, then expect volatile markets to continue."

Tensions between the U.S. and European Union also heightened after Trump said he would double steel tariffs to 50%. The EU warned that this "undermines" negotiations, with a spokesperson adding: "This decision adds further uncertainty to the global economy and increases costs for consumers and businesses on both sides of the Atlantic."

Steel stocks rallied on the increased levies. Cleveland-Cliffs surged 23%, while Steel Dynamics and Nucor both popped 10%.

Monday's moves come after the S&P 500 closed out the month of May on Friday with a more than 6% gain, its best monthly performance since November 2023. The tech-heavy Nasdaq surged more than 9% for the month and the Dow rose about 4%.

Stocks close first June session higher

The three leading indexes finished in the green on Monday, the first trading day of June.

The S&P 500 rose 0.41% to end at 5,935.94, while the Nasdaq Composite gained 0.67%, closing at 19,242.61. The Dow Jones Industrial Average climbed 35.41 points, or 0.08%, to settle at 42,305.48.

— Sean Conlon

Market is 'somewhat range-bound' until there's tariff clarity, U.S. Bank's Rob Haworth says

Stocks may be stuck in a trading range unless there's more developments around the Trump administration's tariffs, according to Rob Haworth of U.S. Bank Asset Management.

"The market is somewhat range-bound until we get to some clarity on tariffs," the senior investment strategist told CNBC. "It's oscillating between a high end, which prices in a very positive scenario where tariffs aren't going up that much and maybe we don't have to reshore that much, and a negative scenario where tariffs are high and we're expecting a lot of repatriation of foreign goods, or we're going to have to do a lot of substitution."

That negative scenario would take the market "back to the lows in April," he added.

— Sean Conlon

Oil prices jump as rig count falls, OPEC+ keeps production increase steady

U.S. crude oil futures rose more than 3% in afternoon trading after OPEC+ increased production at a steady rate, easing investor fears that the group boost output at a faster rate.

The West Texas Intermediate contract for July rose $2.06, or 3.39%, to $62.85 per barrel, while the global benchmark Brent contract for August was up $2.05, or 3.27%, to $64.83 per barrel. Prices are also finding support as the U.S. rig count fell every week in May and has hit its lowest level since 2021.

Eight producers in OPEC+, led by Saudi Arabia, agreed on Saturday to increase production by 411,000 barrels per day in July, the third consecutive month the group will boost output at that rate.

"There were market concerns of a faster unwind process," Giovanni Staunovo, commodity analyst at UBS, told clients in a note Saturday. "For now, the oil market remains tight, indicating it can absorb additional barrels."

— Spencer Kimball

Regeneron shares rise on hopes its muscle-saving drug helps patients with obesity

Regeneron shares rose more than 1% after its experimental drug trevogrumab showed early signs that it helped patients taking Novo Nordisk's obesity drug Wegovy lose less muscle mass and more fat.

One of the downsides of taking GLP-1 drugs is that patients can lose muscle mass as well as fat as they quickly shed pounds. The loss of muscle mass can put older patients at a greater risk for falls and accelerate a loss of strength that often occurs as people age.

Regeneron shares are down more than 30% year to date. The stock took a big move down on Friday after a setback on a treatment for chronic obstructive pulmonary disease that it was working on with Sanofi.

— Christina Cheddar Berk

Powell speaks to finance conference, stays mum on policy

Federal Reserve Chair Jerome Powell delivered opening remarks Monday for the central bank's International Finance Division's 75th anniversary conference but offered no monetary policy guidance.

In addition to documenting the division's history and its role in helping guide policy, Powell also offered condolences to the family of former Fed Vice Chair Stanley Fischer, who died Saturday at the age of 81.

"In addition to reaching the highest levels of the field in his own right, he was a trusted and generous mentor and teacher to a generation of the most important economic thinkers, including many heads of global central banks, advisors to presidents, and countless economists. We will miss him," Powell said.

A highly influential economist on a global scale, Fischer served as the Fed vice chair from 2014-17.

— Jeff Cox

Metal mining stocks jump

Stocks tied to mining gold and silver rallied in Monday's session.

The Global X Silver Miners ETF (SIL) and the VanEck Junior Gold Miners ETF (GDXJ) surged just above 6%, while the VanEck Gold Miners ETF (GDX) climbed more than 5%. All three hit new 52-week highs and were on track for their best days since April.

— Alex Harring

Stocks making the biggest moves midday

Check out some of the companies making headlines in midday trading:

• Tesla — Shares of the electric vehicle company dropped 3% after sales in May declined in several European markets. Reuters reported that Tesla suffered weaker sales in Sweden, France, Spain, Denmark and the Netherlands, but improved in Norway, boosted by the revamped Model Y.
• Advertising stocks — Advertising stocks were lower Monday following a report in The Wall Street Journal that Meta Platforms plans to use artificial intelligence to fully automate its ads by the end of the year. Shares of Omnicom Group lost 4%, while WPP and Interpublic shed 2% each.
• Steel stocks — Steel stocks were higher after President Donald Trump doubled tariff rates on imports to 50%. Cleveland-Cliffs soared more than 24%, while Nucor and Steel Dynamics each climbed 10%.

Read the full list here.

— Brian Evans

Bitcoin ETFs see biggest day of outflows since February, snap a six-week inflow streak

Exchange-traded funds tracking the price of bitcoin saw their biggest day of outflows since February on Friday, ending six weeks in a row of inflows, according to SoSoValue, as trade tensions between the U.S. and China increased.

On Friday, the funds posted $616.22 million in outflows, led by BlackRock's iShares Bitcoin Trust ETF (IBIT) and the Ark 21Shares Bitcoin ETF (ARKB). It was their biggest day of negative flows since Feb. 26, as the cryptocurrency's price fell to as low as about $103,000, after reaching a new all-time high at nearly $112,000 one week earlier.

That pushed total outflows on a weekly basis to $157.4 million, its first week of net outflows since the week ending April 11.

Bitcoin ETFs still ended May with $5.23 billion in inflows, an increase from $2.97 billion in April.

— Tanaya Macheel

Fed's Logan sees policy well positioned for risks

Dallas Federal Reserve President Lorie Logan said Monday that policymakers can be patient with a "tremendous amount of uncertainty" in the economy that is reflected in financial markets.

"With the labor market being very stable, inflation coming down slowly but still above our target, and these balances of risks on both sides of our mandate, I think monetary policy is really well positioned for us to wait, [be] patient and watch the data, knowing that if the risks are to materially change on either side, we're well positioned to act," Logan said during a banking conference.

The central banker noted that she is watching a dashboard of economic indicators, particularly on inflation "and we'll just keep watching the wide range of data that we get."

Logan is an alternate and a nonvoter this year for the rate-setting Federal Open Market Committee.

— Jeff Cox

A conversation between Trump and Xi 'likely coming this week'

A direct conversation between Trump and China's President Xi Jinping is "likely coming this week," a senior White House official told CNBC's Eamon Javers.

Trade tensions between the U.S. and China escalated last week after Trump accused China of violating its preliminary trade agreement with the U.S., including a dispute over critical minerals.

— Yun Li

Manufacturing, construction spending show weakness

Factory activity in the U.S. remained in contraction in May while construction spending unexpectedly declined, according to economic data releases Monday.

The ISM manufacturing index posted a reading of 48.5%, in line with the Dow Jones estimate and 0.2 percentage points below April. As the index measures the percent of companies seeing expansion, anything below 50% represents contraction.

Inventories, imports and new export orders all posted significant declines, while order backlogs and new orders saw gains. Prices and employment figures were little changed.

In other economic news, construction spending fell a seasonally adjusted 0.4% in April from the prior month, as private activity fell at a 0.7% clip, according to the Commerce Department.

— Jeff Cox

Negative impact of tariffs is still to come, JPMorgan says

The brunt of the effect of Trump's tariffs is yet to be felt in both economic growth and inflation, JPMorgan strategist Mislav Matejka said in a note to clients.

"We look for softer activity over the next months, but also higher inflation prints in the US. Past frontloading of orders in the runup to tariffs is likely to have a payback, there will be some weakening in consumer due to squeeze in purchasing power, and even with dramatic backpedalling, the current tariffs picture is worse than most thought at the start of the year," the note said.

This combination could keep the stock market rally in check, Matejka said.

— Jesse Pound

Stocks open lower as first June trading day kicks off

Stocks traded lower Monday morning.

Just after the opening bell, the S&P 500 fell 0.3%, while the Nasdaq Composite declined 0.2%. The Dow Jones Industrial Average also shed 173 points, or 0.4%.

— Sean Conlon

Flutter, DraftKings fall in premarket trading after Illinois tax hike passes

Shares of Flutter Entertainment and DraftKings slumped on Monday after Illinois lawmakers approved a sports betting tax increase over the weekend.

The proposed hike, which is part of a bill that still has to be signed by the governor, has a tiered system that hits the larger sportsbooks in the state harder, Truist analyst Barry Jonas said in a note to clients. That includes Flutter Entertainment, down 4.3%, and DraftKings, off 5.5%.

The higher tax rate also raises the possibility that customers shift to illegal markets and other states hike their taxes, Jonas said.

— Jesse Pound

Stocks making premarket moves

Here are some of the names moving before the bell:

• BioNTech — Shares popped 11.3% after Bristol Myers Squibb agreed to a multibillion-dollar deal to partner with BioNTech to co-develop an experimental cancer drug. Bristol Myers Squibb rose 1%.
• Moderna — The stock added 3% on the back of the U.S. Food and Drug Administration's approval of its next-generation Covid vaccine for adults 65 and older.
• Blueprint Medicines — The biopharma company jumped 26.5% after it agreed to be acquired by Sanofi in an approximately $9.5 billion deal.

To see more stocks moving in premarket trading, read the full story here.

— Michelle Fox

Oil gains following OPEC+ decision to leave output increase unchanged

Oil prices rose on Monday after OPEC+ decided to raise output by 411,000 barrels per day in July, the same level as the prior two months.

U.S. crude oil gained $2.50, or 4.1%, to $63.29 per barrel, while global benchmark Brent jumped $2.31, or about 3.7%, to $65.09 per barrel.

— Sean Conlon

Steel stocks surge after Trump doubles tariffs

Steel stocks rallied Monday morning after Trump raised tariffs on the metal to 50% from 25%. Cleveland-Cliffs soared 32%. Steel Dynamics and Nucor were both up 13%.

— Fred Imbert

Investors are making short Treasury bets like Warren Buffett amid bond volatility

Investors are leaning into shorter-term Treasury bills alongside Berkshire Hathaway's Warren Buffett.

"There's lots of concern and volatility, but on the short and middle end, we're seeing less volatility and stable yields," Joanna Gallegos, CEO and founder of bond ETF company BondBloxx, told CNBC's "ETF Edge" last week.

Her remarks come as the 3-month Treasury yield sits above 4.3%, while the 2-year Treasury yield and 10-year Treasury yield are at 3.9% and about 4.4%, respectively.

Last month, Treasury yields spiked amid concerns that a new U.S. tax bill would exacerbate the country's budget deficit, with the 30-year Treasury yield at one point reaching its highest level since October 2023.

Read the full story here.

— Jason Gewirtz, Sean Conlon

Stocks had a positive week last week

Stocks saw gains last week, bolstering May's strong performance for each of the three major averages:

• The S&P 500 gained 1.88% week to date, its second positive week in three.
• The Dow Jones Industrial Average jumped 1.6% week to date, its second positive week in three.
• The Nasdaq Composite rose 2.01% week to date, its second positive week in three.
• The Russell 2000 advanced 1.3% week to date, its seventh positive week in eight.

— Sean Conlon, Christopher Hayes

Here's how stocks performed in May

Stocks closed out the month of May with substantial gains:

• The S&P 500 climbed 6.15% month to date, breaking a three-month losing streak with its best monthly performance since November 2023, when it gained 8.92%.
• The Dow Jones Industrial Average rose 3.94% month to date, breaking a three-month losing streak.
• The Nasdaq Composite surged 9.56% month to date, its best monthly performance since November 2023, when it gained 10.7%. This also marked its second positive month in a row.
• The Russell 2000 moved 5.2% higher month to date, also breaking a three-month losing streak with its best monthly performance since November 2024, when it gained 10.84%.

— Sean Conlon, Christopher Hayes

Stock futures open lower following winning May

Stock futures traded lower Sunday evening.

S&P 500 futures were down about 0.3% shortly after 6 p.m. ET, along with Nasdaq-100 futures. Futures tied to the Dow Jones Industrial Average fell 95 points, or 0.2%.

— Sean Conlon