US stocks hit fresh all-time highs and retreat, Nasdaq underperforms

Major US equity indices kicked off a new trading week on a slightly positive note and touched fresh record highs as traders continued to cheer the prospects for a major tax overhaul. 

Monday's modest gains came after all the three major indices scored all-time record closing highs on Friday and were being supported by growing optimism over the US President Donald Trump's proposed tax reforms. The Senate last week passed a budget blueprint for the next fiscal year and lifted hopes that congressional Republicans will be able to push on with tax cuts. 

The already buoyant investors’ sentiment got an additional boost from the Japanese PM Shinzo Abe's ruling party's big win in Sunday's snap election and a stronger-than-expected earnings season. Corporate earnings have got off to a strong start, with nearly 75% of the S&P 500 companies, which reported third-quarter earnings, beating profit expectations.

With the third-quarter earnings season continuing at full steam this week, investors would also be keen to know who will take over as the next Fed Chair after Janet Yellen's term expires in February.

During the opening hour of trade, the Dow Jones Industrial Average was up nearly 30-points to 23,356, while the broader S&P 500 Index added around 2-points to 2,577. Meanwhile, tech-heavy Nasdaq Composite Index underperformed the broader indices and treaded water near Friday's closing level of 6,628.