Stocks and crude oil are rallying

Stocks and crude oil rallied in early trading on Monday.

Near 10:16 a.m. ET, the Dow was up 95 points (0.54%), the S&P 500 was up 9 points (0.46%), and the Nasdaq was up 25 points (0.54%). Stocks closed at their lowest level in a month on Friday.

Apple shares gained the most on the Dow, by 3% after Berkshire Hathaway disclosed that it owned a $1 billion stake in the company as at the end of the first quarter.

West Texas Intermediate crude futures in New York and Brent crude - the international benchmark - both gained more than 3%.

The two headlines you need to know are: Nigerian production has fallen to the lowest level in decades after several militant attacks on infrastructure. And, Goldman Sachs analysts say the oil market has turned from a dire overflow to a deficit much sooner than they had thought.

Brent crude climbed above $49 per barrel, while WTI rose to as high as $47.85, the highest level since October.

In economic data, the Empire State Manufacturing index plunged to -9.02 for May from a 15-month high of 9.56, as business conditions unexpectedly got worse.

And, the National Association of Homebuilders' housing market index held at 58 for a fourth straight month.