Stocks surged on Tuesday as a rebound in crude oil prices boosted the energy sector and a series of earnings reports lifted broader markets. 

The S&P 500 was up 1.4%, the Dow Jones Industrial Average added 1.8%, or 277 points, and the Nasdaq gained 1.2%.

West Texas Intermediate crude oil on Tuesday gained 6.1% to $32.18 a barrel, rebounding from another selloff a day earlier. Prices have been under pressure on signs major oil producers such as Saudi Arabia will ramp up production despite massive global oversupply.

The energy sector was the best performer on markets Tuesday. Major oilers including Exxon Mobil (XOM) - Get Report , ConocoPhillips (COP) - Get Report , Chevron (CVX) - Get Report , and Schlumberger (SLB) - Get Report jumped, while the Energy Select Sector SPDR ETF (XLE) - Get Report added 3.4%.

In earnings news, Sprint (S) - Get Report boosted the S&P 500, jumping 22% after reporting a narrower-than-expected third-quarter loss and raising its full-year guidance. The company said revenue has stabilized and that postpaid phone net additions were the highest in three years. The stock was active on Monday on reports of widespread job cuts at the company.

3M (MMM) - Get Report added nearly 5% after a mixed quarter. The adhesives company earned $1.80 a share in its fourth quarter, above analysts' estimates of $1.63 , while revenue of $7.3 billion topped forecasts for $7.2 billion.

Coach (COH) climbed nearly 11% after beating quarterly estimates on its bottom-line. The luxury accessories retailer earned 68 cents a share in its second quarter, 2 cents above forecasts, though revenue of $1.27 billion fell short of expectations. The company said it expects full-year sales up in the low-single percentage digits, excluding currency effects.

Procter & Gamble (PG) - Get Report added 2.5% after increased pricing in its consumer-products division fueled constant-currency sales growth. The consumer goods giant reported a 2% rise in organic sales with higher prices offsetting a 2% decline in volume. Overall revenue fell 8.5% as a stronger U.S. dollar diminished overseas sales.

Just 18% of S&P 500 companies have reported earnings so far with heavy-hitters such as Apple (AAPL) - Get Report and Microsoft (MSFT) - Get Report still to report this week. Of the companies that have reported, 70% have exceeded analysts' earnings estimates.

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Consumer confidence rose in January even as equity markets cratered. Sentiment rose to 98.1 from 96.3 in December, above estimates and its best reading since October, according to the Conference Board. A strong labor market and low gasoline prices appeared to have boosted confidence to start the new year.

"This buoyancy in U.S. household mood is somewhat surprising given the rising anxiety about U.S. and global growth prospects," said Millan Mulraine, deputy chief U.S. macro strategist at TD Securities. "At the very least, this report suggests that U.S. households remain quite upbeat about the economic prospects and given the importance of consumer spending to overall domestic activity, the resiliency in household sentiment will be interpreted by the [Federal Reserve] as good news."

Fed members convened on Tuesday morning for a two-day Federal Open Market Committee meeting. While no change in policy is expected at this meeting, a statement to be released on Wednesday afternoon will be closely analyzed for clues as to the pace of future rate hikes.

"With global equity markets down substantially over the last several weeks, the U.S. dollar reaching new cyclical highs, and a clouded inflation outlook, the FOMC statement should strike a more cautious tone," Deutsche Bank analysts wrote in a note.

AIG (AIG) - Get Report shares rose 1.5% after the financials company said it would sell its broker-dealer network and partially spin off its mortgage-insurance business. Activist investor Carl Icahn has been pressuring the insurance company recently to break up, arguing its size makes it more vulnerable to regulatory scrutiny and costs.

Johnson & Johnson (JNJ) - Get Report reported disappointing revenue growth in its recent quarter, hit by currency headwinds that overshadowed favorable growth in U.S. pharmaceutical sales. The company said sales in its December quarter fell 2.4% to $17.81 billion, below analysts' estimates. Currency exchange reduced revenues by 6.8%. The stock rose 3.2%.

Hess (HES) - Get Report jumped 4% after slashing its 2016 exploration and production capital budget to $2.4 billion, down 40% from a year earlier and 20% lower than its October guidance. The oil company also maintained its forecast for production of between 330,000 and 350,000 barrels of oil per day this year.

DuPont (DD) - Get Report swung to a fourth-quarter loss of $253 million, or 29 cents a share, but adjusted earnings of 27 cents a share topped analysts' forecasts. The chemical company posted revenue of $5.3 billion in the period, which was below Wall Street estimates. DuPont said it expects full-year earnings in the range of $2.95 to $3.10 a share. Shares rose 1.5%.

Twitter (TWTR) - Get Report added American Express executive Leslie Berland as its chief marketing officer after a series of C-level executive departures over the weekend. CEO Jack Dorsey announced the appointment on Twitter Tuesday morning. Berland is currently executive vice president of global advertising, marketing and digital partnerships at AmEx. The stock fell slightly in trading on Tuesday.

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