U.S. stocks were trading higher in midday trading Monday as Wall Street shrugged off a drop in crude futures, after a closely watched meeting of major producers in Doha, Qatar on Sunday failed to result in a hoped-for freeze of oil output.
Crude oil and energy stocks had been down sharply after news of the failure to strike a deal but, although still firmly lower, have come off their worst levels on the session.
Meanwhile, investors were digesting better-than-expected earnings reports from companies such as Hasbro Inc.
The S&P 500 gained 8 points, or 0.4%, to 2,089, with the sharpest turnaround occurring among energy-sector names, which is trading 0.4% higher after leading the S&P 500's 10 decliners early in the session, down 1.3%. Eight of the index's 10 sectors were trading in positive territory.
"It is remarkable that stocks are able to shrug off a drop in oil and climb. Maybe we moved on from the tyranny of oil," said Michael Antonelli, equity sales trader at R.W Baird & Co.
Antonelli noted that higher prices in stocks reflect general optimism as investors no longer fear a recession.