New York (AFP)

Wall Street ended strongly in the green Monday, leveraging additional support measures to the economy in China and Germany and reassured by the extension of Washington's exemption period to Chinese telecom giant Huawei.

Its flagship index, the Dow Jones Industrial Average, rose 0.96% to 26,135.79 points.

Nasdaq, with its strong technological color, appreciated by 1.35% at 8,002.81 points and the S & P500 gained 1.21% at 2,923.65 points.

Market players have welcomed several economic news, including "hope for support measures in China and Germany," according to Nate Thooft of Manulife Asset Management.

According to press reports, Beijing would like to reform its business credit system, while Berlin would consider releasing a 50 billion euro budget in the event of an economic crisis, a recession in Germany having been officially described as "possible" in the third quarter.

The trade dispute between China and the United States also experienced a lull on Monday as the Trump administration gave a new respite to the Chinese telecom giant Huawei.

The US Department of Commerce extended the first exemption period granted in May to some US customers and suppliers of Huawei for 90 days.

"There is a glimmer of hope about the possibility of an agreement between the two countries, but there is still skepticism, but the markets favor positive news," said Thooft.

The reports released Wednesday by the US Federal Reserve (Fed) and Thursday by the European Central Bank (ECB) on their previous monetary policy meeting are also particularly expected investors.

But they remain on the alert after a week chaotic on Wall Street, marked by extreme volatility in the stock market.

Last Wednesday, the Dow Jones had its worst meeting of the year, dropping more than 3%, before regaining ground Thursday and Friday.

A wave of panic then blew as the interest rate on 10-year US Treasury bills temporarily dropped below the two-year coupon rate, a phenomenon known as the "reversal of the yield curve". generally considered a leading indicator of recession.

On Monday, the 10-year yield rose sharply, standing at 1.60% around 20H15GMT, while the 2-year rate was 1.55%.

"There are a lot of contradictory messages with sudden movements in one direction or the other," said Thooft.

"This is exacerbated by the fact that we are in August, and that volumes and liquidity are lower because it is a holiday period," added the expert.

© 2019 AFP