--Stocks rise broadly to start December
--Global manufacturing data comes in mostly positive
By Alexandra Scaggs and Tomi Kilgore
NEW YORK--Stocks started December strong on the back of positive
global manufacturing data and as investors looked ahead to a
production reading in the U.S.
The Dow Jones Industrial Average advanced 54 points, or 0.4%, to
13079. Of the average's 30 components, 26 recently rose.
The Standard & Poor's 500-stock index gained six points, or
0.4%, to 1422 and the Nasdaq Composite Index rose 17 points, or
0.6%, to 3028.
The Institute for Supply Management's manufacturing purchasing
managers index for November is due out at 10 a.m. EST. The median
estimate among surveyed economists is for a slight decline to 51,
from 51.7 in October. Readings above 50 indicate expansion.
"Manufacturing numbers are driving" the gains, said Rocky White,
senior quantitative analyst with Schaeffer's Investment Research.
He added, "December is typically bullish ... so it's good to have
seasonal bullishness on your side."
Also at 10 a.m., figures on construction spending for October
are due to be released. Outlays are expected to increase 0.5% from
September.
European markets were broadly higher, with the Stoxx Europe 600
up 0.6% at a 1 1/2-year high, as Greece's plan to reduce its debt
burden helped bolster investor confidence. Separately, euro-zone
manufacturing contracted in November, but at a slower pace than in
the previous month, indicating that the worst of the slowdown could
be over.
Greece's debt agency announced plans to repurchase up to EUR10
billion worth of its outstanding debt, sending the country's bonds
and stock market surging. Greece's ASE Composite ran up 1.7%.
Asian markets were mostly higher after encouraging data on
China's manufacturing sector. The Chinese government's official
purchasing managers index for November rose to a seven-month high
of 50.6, up from 50.2 in October. And HSBC's PMI for November rose
to 50.5 from October's 49.5. Readings above 50 indicate
expansion.
Japan's Nikkei Stock Average edged up 0.1% to a seven-month high
and Australia's S&P/ASX 200 gained 0.6% to a six-week high,
while China's Shanghai Composite bucked the trend by shedding 1% to
a near-four-year low.
Front-month crude-oil futures tacked on 1.3% to $90.07 a barrel,
while December gold futures rose 0.3% to $1,717.50 a troy ounce.
The dollar lost ground against both the euro and the yen. Yields on
the benchmark 10-year U.S. Treasury bond rose to 1.652% as prices
fell.
In corporate news, shares of Yahoo fell 0.5% after a Mexican
court ordered the Internet media company to pay $2.7 billion to
Worldwide Directories and Ideas Interactivas, which accused Yahoo
and its subsidiary Yahoo de Mexico SA of breach of contract related
to a yellow-pages listings service.
SuperValu jumped 8.4% after The Wall Street Journal reported
that private equity firm Cerberus Capital Management is willing to
pursue multiple options for a deal with the grocer, including
purchasing the entire business or one chain of stores.
Dell rallied 8.3% after analysts at Goldman Sachs raised their
investment rating on the personal computer maker to buy from hold
and raised its 12-month price target to $13 from $9.
Meanwhile, Research In Motion edged 1.5% lower. Canaccord
Genuity analysts downgraded the BlackBerry maker to sell from hold,
citing concerns about the new BlackBerry 10 launch.
Deckers Outdoor gained 9.5% after an upgrade from Sterne Agee to
buy from neutral. Shares have rallied in recent weeks on Wall
Street optimism that much of the worst is over for the embattled
footwear and outdoor-apparel maker, which closed at three-year lows
last month.
HCA Holdings rose 2.4% after it announced plans to pay a special
cash dividend of $2 a share on or before Dec. 31. The hospital
operator said the dividend will be funded through the proceeds from
a $1 billion debt offering.
Write to Alexandra Scaggs at alexandra.scaggs@dowjones.com and
Tomi Kilgore at tomi.kilgore@dowjones.com