NEW YORK (AA) – Wall Street closed higher Monday as crude prices soared around 2.5 percent and investors become less concerned about a possible British exit from the European Union.
The Dow added 130 points to reach 18,805 and the S&P 500 increased 12 points to climb to 2,083. Both indices had their highest daily percentile gains since May 25.
At the final bell, the American benchmark West Texas Intermediate was trading at $49.80 a barrel with a 2.6 percent rise, and the international benchmark Brent crude was up 2.5 percent at $50.42 per barrel.
With the rise in crude prices, stock value of U.S.-based energy companies also increased. Shares of Marathon Oil gained 10 percent, while Southwestern Energy Co. shares climbed six percent.
In addition, fears of investors about the U.K. leaving the EU, also known as Brexit, have subsided since latest polls that showed voters are more likely to choose to stay in Europe, according to analysts.
The market will focus on the Federal Reserve Chair Janet Yellen's semiannual testimony in Congress on Tuesday and Wednesday, and will then closely watch the results of the Brexit referendum on Thursday.