By Victor Reklaitis, MarketWatch

Venezuela boosts hopes for a deal to stabilize crude prices

The Dow industrials on Monday added more than 100 points in early morning trade, supported by gains in crude-oil prices and a report showing a surge in home-builder confidence.

Home-builder confidence surged in September, equaling its highest reading in a decade (http://www.marketwatch.com/story/home-builder-confidence-roars-to-a-cycle-high-in-september-nahb-says-2016-09-19). The National Association of Home Builders' index jumped six points to 65 in September.

The S&P 500 rose 14 points, or 0.6%, to 2,152, with financials and industrials leading broad-based gains. Homebuilder stocks were among the biggest gainers. PulteGroup, Inc(PHM) rose 3%, D.R. Horton Inc.(DHI) rallied 2.5%.

The Dow Jones Industrial Average jumped 119 points, or 0.6%, to 18,239, with shares of 3M Co.(MMM), up 1.5%, leading gainers and a drop in Verizon Communications Inc. (VZ), off 1.1%, topping early decliners.

   The Nasdaq Composite Index   climbed 28 points, or 0.5%, to 5,272. 

As market participants focused on the Federal Reserve's policy meeting this week, the vast majority have ruled out a possible rate increase at this point, according to Jack Ablin, chief investment officer at BMO Private Bank.

"The markets are now waiting for evidence that the economy and third-quarter earnings growth are improving," Ablin said.

Apart from the Fed meeting, analysts also are fretting about announcements later this week from the Bank of Japan.

The S&P "held up within a zone of support in the 2100-2135 area last week, but we think this level may be in jeopardy of being broken this week as investors anticipate the Fed meeting," said Katie Stockton, BTIG's chief technical strategist, in a note.

Read more:Central bank developments are only game in town for markets (http://www.marketwatch.com/story/central-bank-developments-only-game-in-town-this-week-2016-09-16)

The U.S. oil benchmark (http://www.marketwatch.com/story/oil-prices-rise-due-to-trouble-at-libyas-oil-ports-2016-09-19) traded 1.1% higher, with credit for the jump going in part to news that military conflicts in Libya had affected that country's crude exports.

Another supportive factor was Venezuelan President Nicolas Maduro saying on Sunday that members of the Organization of the Petroleum Exporting Countries and non-OPEC nations were nearing an agreement that would stabilize oil markets.

Asian markets "began the week on a moderately positive tack for equity markets, as the oil price rebounded slightly on reports over the weekend of a potential OPEC deal," said Ian Williams, a Peel Hunt strategist, in a note.

Other key oil industry players had damped expectations over the weekend (http://www.marketwatch.com/story/oil-output-limits-unlikely-at-algeria-meeting-opec-members-say-2016-09-18) for an agreement to limit crude output.

The S&P 500 index gained 0.5% last week (http://www.marketwatch.com/story/us-stocks-set-for-losses-with-key-inflation-data-ahead-2016-09-16), finishing 2.3% below its mid-August record, while the Dow edged up 0.2% for the week, leaving it nearly 3% away from its mid-August peak.

See:Why the S&P could drop for a few weeks, then pop higher (http://www.marketwatch.com/story/why-the-sp-could-drop-for-a-few-weeks-then-pop-higher-in-one-chart-2016-09-19)

Other markets: European stocks moved higher, while a key dollar index pulled back and gold futures advanced.

Economic news: Shifting expectations for the two-day meeting of the Fed's rate-setting committee that ends on Wednesday have been a primary driver for U.S. markets. But headlines out of Tokyo due a few hours before the Fed news could be equally or even more important (http://www.marketwatch.com/story/how-a-twist-by-the-bank-of-japan-could-upstage-the-fed-2016-09-17) for asset prices.

Check out:

Corporate news: Shares in Infoblox Inc.(BLOX) jumped 15% following news that private-equity firm Vista Equity Partners plans to buy the network security company (http://www.marketwatch.com/story/infobloxs-stock-soars-after-buyout-deal-valued-at-16-billion-2016-09-19) in a $1.6 billion deal.

Tech products distributor Avnet Inc.(AVT) gained 8% after Tech Data Corp.(TECD) announced a $2.8 billion deal to buy an Avnet business (http://www.marketwatch.com/story/avnets-stock-jumps-after-28-billion-deal-to-sell-assets-to-tech-data-2016-09-19).

U.S.-listed shares in Sanofi(SAN.FR) (SAN.FR) edged up following news the French drug giant has filed a lawsuit (http://www.marketwatch.com/story/sanofi-files-us-suit-against-merck-over-patents-2016-09-19) against rival Merck & Co.'s (MRK) international unit for alleged patent infringement.

Ann Taylor and Justice parent Ascena Retail Group Inc.(ASNA) is among the companies due to report quarterly results after the closing bell.

Shares of Sarepta Therapeutics Inc. (SRPT) surged up as much as 82% (http://www.marketwatch.com/story/sarepta-stock-jumps-82-on-approval-of-controversial-duchenne-muscular-dystrophy-drug-2016-09-19) in morning trade after the Food and Drug Administration granted its Duchenne muscular dystrophy drug - the first treatment for the degenerative disease--accelerated approval.

The leader of the union representing auto workers in Canada said thousands of factory employees will strike (http://www.marketwatch.com/story/gm-workers-in-canada-will-strike-if-monday-deadline-missed-says-union-leader-2016-09-19) at two General Motors Co.(GM) plants if the sides miss a Monday night deadline for a new contract. However, GM shares rallied, after Morgan Stanley upgraded the stock to overweight from equal-weight and raised the price target to $37 from $29 a share.

(END) Dow Jones Newswires

September 19, 2016 10:28 ET (14:28 GMT)