Wall Street saw an optimistic start to the week Monday ahead of US inflation data and major earnings reports due this week, with all three major indices logging gains.

The Dow Jones Industrial Average advanced 0.6 percent to 39,597.30, while the S&P 500 Index climbed 0.2 percent to 5,578.44.

The Nasdaq Composite Index edged up 0.1 percent to 18,373.50.

"We have a situation here where the market is very strong," said Adam Sarhan of 50 Park Investments.

He noted that this week marks the start of earnings season, with Delta Air Lines and several major banks to release reports.

But there appears to be optimism ahead of the earnings numbers, as well as US consumer and wholesale inflation figures, he said.

Last week, the S&P 500 and Nasdaq both logged fresh highs after government data showed the US labor market was cooling steadily -- fueling expectations that the Federal Reserve could start rate cuts in September.

Investors will be eyeing inflation numbers for signs that the trend of easing is continuing, as this will give the central bank greater confidence to shift to rate cuts.

Among individual companies, Boeing shares rose 1.8 percent after it reached agreement with the US Department of Justice over two fatal 737 MAX crashes.

The aviation giant will plead guilty to fraud, according to court documents.

Paramount Global shares slipped 1.9 percent after it announced a merger deal with Skydance.