Gaotu Techedu Inc. (NYSE: GOTU) saw its stock price surge 5.67% in pre-market trading on Monday, as Chinese American Depositary Receipts (ADRs) experienced a broad-based rebound. The online education company's gains were part of a larger trend that saw several Chinese stocks listed on U.S. exchanges posting significant increases.

The rally was particularly strong in the education sector, with industry peer TAL Education Group leading the pack with a 6% increase. Other notable gainers included technology firms Tuya and iQiyi, as well as electric vehicle manufacturer NIO, all of which saw their shares climb by 4%.

While specific reasons for the rebound were not immediately clear, the coordinated rise across various sectors suggests a potential shift in investor sentiment towards Chinese stocks. This movement could be attributed to factors such as easing regulatory concerns, improved U.S.-China relations, or positive economic indicators from China. As Gaotu Techedu continues to navigate the evolving landscape of online education in China, investors appear to be showing renewed interest in the company and its peers.