U.S. equity markets were sharply higher Monday as traders returned from their extended holiday weekend to New York City reaching Phase 3 of its COVID-19 reopening and as Warren Buffett's Berkshire Hathway put its cash pile to work.

The Dow Jones Industrial Average gained 383 points, or 1.48 percent, in the opening minutes of trading while the S&P 500 and the Nasdaq Composite were higher by 1.42 percent and 1.57 percent, respectively. The early gains had the Nasdaq on track for a 24th record-high close this year.

Stocks posted modest gains on Thursday after the June jobs report showed the U.S. economy added more workers than expected, providing hope that an economic recovery could happen sooner than forecast.

Beginning Monday, New York City will allow places like nail salons and tattoo parlors to operate at 50 percent capacity. Indoor dining, however, is not yet permitted.

Travel-related names, including airlines and cruise operators, continued to gain ground as the reopening of America takes shape.