US stock futures jump and oil ticks higher as fears about the global economy cool

• US stock futures jumped Monday as global economy fears ebbed, with S&P 500 contracts up more than 1%.
• Chinese authorities loosened coronavirus restrictions in Beijing, boosting growth prospects in the country.

US futures and global stocks rallied on Monday as investors' fears about the global economy ebbed, following moves by China to loosen coronavirus restrictions and Friday's strong US jobs report.

S&P 500 futures were 0.98% higher, Dow Jones futures were up 0.77%, and Nasdaq 100 futures had risen 1.28% as of 6:10 a.m. ET.

In Asia overnight, China's CSI 300 stock index gained 1.87%, while Hong Kong's Hang Seng surged 2.56%, with tech stocks faring particularly well. Europe's Stoxx 600 index was up 0.9% in morning trading.

The UK's FTSE 100 index was 1.38% higher despite news that Prime Minister Boris Johnson will face a confidence vote later in the day, after months of scandals centered on lockdown-busting parties.

Investors' worries about the global economy have dogged markets in recent weeks, with speculation growing stronger that central banks will trigger recessions by hiking interest rates to deal with strong inflation.

Yet China further loosened lockdown restrictions Monday, a move that calmed fears that the government's strict zero-COVID policy would continue to weigh on growth in the manufacturing powerhouse.

"China has announced a further easing of curbs in Beijing over the weekend, which is seeing some Asian equity markets, and US futures, trading in positive territory," Jeffrey Halley, an analyst at currency firm Oanda, said in a note.

A stronger-than-expected monthly US jobs report on Friday allayed fears about a recession in the world's biggest economy. However, equities fell on the day, as traders predicted the data could mean the Federal Reserve has to hike interest rates further.

Economists at Goldman Sachs said Monday they expect the Fed to cool inflation without tipping the US economy into a recession, although they said growth would likely slow sharply.

Oil prices edged higher Monday after Saudi Arabia put up prices for crude sales to Asia by more than expected. Traders took the move as a sign that supply remains low relative to demand.

Brent crude was up 0.86% to $120.75 a barrel, having risen around 50% since the start of the year, with Russia's invasion of Ukraine pushing prices higher. WTI crude was 0.83% higher at $119.88 a barrel.

European oil companies could start shipping Venezuelan oil to Europe as soon as July, Reuters reported Sunday, citing people familiar with the matter. The move would resume oil-for-debt swaps halted in the US's 2019 sanctions.

Elsewhere, US bond yields edged higher as traders assessed the strength of the economy. Yields, which move inversely to prices, had fallen in recent weeks as economic concerns had grown and investors had snapped up the safe-haven assets.

The yield on the key 10-year US Treasury note was up 2.7 basis points to 2.966%.

Meanwhile, the dollar index was down 0.20% to 101.94.