The Globe and Mail reports in its Tuesday edition that stocks rallied on Monday, with Nasdaq climbing 3 per cent and the Dow and Toronto Stock Exchange marking record-high closes. A Reuters dispatch to The Globe says the rally came after the United States and Iran struck a preliminary agreement to end the Middle East war and reopen the Strait of Hormuz, leading to an easing of inflation fears as crude oil prices dropped. The deal framework -- expected to be formally signed in Switzerland on Friday -- did not address key issues such as Tehran's nuclear program or Israel's invasion of Lebanon. Still, U.S. crude futures settled down 4.9 per cent after the news and hit their lowest level since March, aiding shares of energy-sensitive airline and cruise stocks and hurting energy shares. Rate-sensitive technology stocks rallied as investors were more comfortable taking on riskier bets with lower oil prices easing inflation fears. The S&P/TSX Composite Index ended up 337.79 points at 35,275.64, eclipsing the record closing high it posted on June 4. Another big focus for the week is the U.S. central bank's next policy update, due on Wednesday, after new chairman Kevin Warsh's first policy meeting.