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Global stocks are rallying Monday after President Donald Trump temporarily exempted smartphones, computers, and semiconductors from his "reciprocal" tariffs .

The reprieve for consumer electronics imports, many of which come from China, is driving shares higher. Dow Jones Industrial Average and S&P 500 futures are up roughly 1%, and Nasdaq futures are 1.3% higher. Magnificent Seven stocks are rising, with shares of Apple ( AAPL ) jumping 5% in premarket trading, extending Friday's gains .

Overseas, the Stoxx Europe 600 index is rising 2%, the Nikkei closed up 1.2%, and Hong Kong's Hang Seng finished 2.4% higher.

China called the tariff pause "a small step for the U.S. side to correct its wrong practice of unilateral 'reciprocal tariffs,'" according to a statement from the state-owned Xinhua News Agency.

Following recent surges, the yield on 10-year Treasuries is pulling back at 4.44%. Still, analysts said investors remain worried about holding assets based on the U.S. dollar, which is down against major currencies Monday.  MUFG said in a note that "uncertainty over China’s appetite for (U.S. Treasury) bonds is likely also playing a role in worsening investor confidence in US assets." China is one of the biggest holders of Treasurys.

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