Large technology stocks pushed the S&P 500 close to a record high as investors moved into familiar artificial intelligence names amid rising bond-market and political concerns. According to Sina Finance, the S&P 500 rose 0.7%, with Nvidia and Microsoft accounting for most of Monday's gains, even as the 10-year U.S. Treasury yield surged to its highest level in more than 20 years.

The index has gained about 14% so far this year. Materials, communication services, and health care also advanced.

The Nasdaq 100 rose 0.9% and hit a record high for a second straight session. Integrity Asset Management portfolio manager Joe Gilbert said the S&P 500's performance this year can be summed up in one word: resilience, adding that the latest rally was driven by the old pattern of heavyweight stocks pulling the index higher.

Market breadth remains one of investors' biggest concerns. The share of stocks trading above their 10-day, 50-day, and 200-day moving averages fell to its lowest level since March.

Piper Sandler chief market technical analyst Craig Johnson said rates and oil prices need to come down, but that has not happened yet and market internals are deteriorating. He said that will be a drag on the market.

Citigroup and JPMorgan strategists expect strong corporate earnings to keep supporting equities despite bond-market volatility. RBC strategists turned more constructive on U.S. small-cap stocks after a weaker-than-expected jobs report reduced expectations for Federal Reserve rate hikes.

Taiwan Semiconductor Manufacturing Co. ADRs rose 2.8% after the company discussed a potential collaboration with Elon Musk's Terafab.

At the close, the S&P 500 rose 0.7% to 7,773.95, the Dow Jones Industrial Average gained 0.2% to 51,267.9, the Nasdaq Composite climbed 1.1% to 27,477.31, the Nasdaq 100 rose 0.9% to 31,076.44, and the Russell 2000 added 0.5% to 2,847.136.