U.S. stocks jump as oil rebounds

U.S. stocks ticked up in the morning session Monday, as a strong rebound in oil prices boosted Wall Street sentiment.

By midday, the Dow Jones Industrial Average surged 214.08 points, or 1.31 percent, to 16,606.07. The S&P 500 gained 24.55 points, or 1.28 percent, to 1,942.33. The Nasdaq Composite Index leapt 61.90 points, or 1.37 percent, to 4,566.33.

Oil prices traded sharply higher around midday Monday, with the U.S. oil surging about 7 percent, as the International Energy Agency said U.S. shale oil production was expected to fall by 600,000 barrels per day (bpd) this year and another 200,000 bpd in 2017.

On Friday, oil prices suffered big losses after government data showed a rise in U.S. crude stockpiles.

Also, the market got support following a broad-based rally in global stock markets.

In Asia, Chinese shares regained the 2,900-point mark on Monday, following the appointment of a new regulator head on Saturday. The benchmark Shanghai Composite Index surged 2.35 percent to close at 2,927.18 points.

European equities also traded sharply higher buoyed by the solid gains in commodity prices.

On Friday, U.S. stocks closed mixed after wavering in a tight range, as investors digested the country's consumer price data amid a plunge in oil prices. Endit