The TSX energy sector rose 3.2 per cent as oil prices added to Friday's advance of almost US$2 a barrel. The April crude contract on the New York Mercantile Exchange rose $1.55 to US$47.07 - its highest close in two months.

"The market clearly got oversold," said Bob Tebbutt, vice-president at Peregrine Financial Group Canada.

"Was the market overpriced at US$147 a barrel? Maybe. Was the market underpriced at US$33? Maybe. But take a look at gasoline demand. In the last four weeks, versus the same four weeks a year ago, we're up three per cent."

Investors also anticipate another OPEC production cut will shrink global supplies.