1st LD Writethru: U.S. stocks keep rising after holiday

U.S. stocks posted solid gains Tuesday after markets were closed Monday for Presidents' Day, as a rebound across the global equity market boosted investor sentiment.

The Dow Jones Industrial Average jumped 222.57 points, or 1.39 percent, to 16,196.41. The S&P 500 leapt 30.80 points, or 1.65 percent, at 1,895.58. The Nasdaq Composite Index surged 98.44 points, or 2.27 percent, to 4,435.96.

Overseas stock markets rebounded strongly during the long weekend. Chinese shares surged on Tuesday to regain the 2,800-point mark on official reassurance about the steadiness of the yuan. The benchmark Shanghai Composite Index leapt 3.29 percent to close at 2,836.57.

Tokyo stocks reversed early losses to close higher Tuesday, after spiking over 7 percent on Monday, as investors were encouraged by a weaker yen.

European shares finished mixed Tuesday after the previous day's surge, as European Central Bank President Mario Draghi hinted at further monetary policy easing.

German benchmark DAX index at Frankfurt Stock Exchange fell 0.78 percent, while British benchmark FTSE 100 Index added 0.65 percent.

Oil prices were also in focus, which pared early gains to end lower Tuesday, amid hopes that major oil producers would agree on cutting oil production at a meeting in Doha, Qatar.

In the United States, the February 2016 Empire State Manufacturing Survey indicates business activity continued to decline for New York manufacturers. The headline general business conditions index edged higher, but remained firmly in negative territory. Endit