Stocks rose in choppy trading on Monday as investors pored through the latest U.S.-China trade developments and equities added to a massive rally in the prior trading session.

The Dow Jones Industrial Average climbed 98.18 points to 23,531.35 after briefly falling 131.57 points. At is high of the day, the 30-stock Dow rose 254.58 points. The gained 0.7 percent to close at 2,549.69, led by a 2.36 percent gain in the consumer discretionary sector. The Nasdaq Composite advanced 1.26 percent to 6,823.47, posting its seventh positive session in eight, as Amazon shares rose more than 3 percent.

The S&P 500 energy sector was also among the best performers on Monday. The sector jumped 1.3 percent as Cabot Oil and Hess both rose more than 4 percent. Energy stocks got a boost from a 1.2 percent surge in U.S. oil prices.

On Friday, the major indexes all surged more than 3 percent after Federal Reserve Chair Jerome Powell said the central bank would be "flexible" in its approach to monetary policy. Stronger-than-expected employment data also contributed to Friday's sharp gains.

"The January effect will likely continue, but the market will be erratic as the trade talks continue," said Peter Cardillo, chief market economist at Spartan Capital Securities. "The real key is trade. Any sign that trade talks are going well could send the market to the upside."