German stocks climbed more than 3.0 percent on the Frankfurt stock exchange on Monday afternoon in line with other European markets, building on strong gains earlier in the day. 

The blue-chip DAX 30 index shot up 3.14 percent to an intraday high of 9,249.46 points. The biggest gainers included energy giant E.ON, which rose by 6.22 percent, and embattled auto giant Volkswagen shares which were up 6.25 percent. 

The Madrid market likewise raced ahead, the Ibex 35 index posting a 3.3 percent rise in early afternoon trading led by banks.