US stocks rebounded sharply overnight from the previous day's slump as positive economic news in Asia helped ease fears about the strength of the global recovery.
The Dow Jones Industrial Average vaulted 214.33 points (2.17 per cent) to 10,113.43 in opening trades.
The tech-rich Nasdaq index climbed 38.21 points (1.77 per cent) to 2197.06 and the broad-market S&P 500 index advanced 23.08 points (2.19 per cent) to 1078.77.
"The bulls are finding some energy from a plethora of stronger-than-expected economic reports out of Asia, which is helping overshadow a smaller-than-expected decline in US weekly initial jobless claims," Charles Schwab & Co. analysts said in a note to clients.
China said its trade surplus soared in May on strong foreign demand for Chinese-made clothes and electronics as exports leaped 48.5 per cent from a year ago.
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In Japan, the government reported the world's second-biggest economy grew 5.0 per cent in the first quarter, faster than an initial estimate of 4.9 per cent.
The euro surged above $US1.21, reflecting a return in risk appetite in the market.
The positive economic news in Asia contrasted with a weaker-than-expected government report on the ailing US labour market.
Initial claims for unemployment benefits fell to 456,000 last week, more than the 450,000 expected by most analysts.
Investors appeared to shrug off the weekly jobless claims numbers and focus on the improved outlook for the global economy.
The action came after Wall Street stocks fellyesterday after an early buying spree ran out of steam around midday local time.
The Dow dropped 0.41 per cent, the Nasdaq fell 0.54 per cent and the S&P 500 lost 0.59 per cent.
US stocks rise, Bernanke upbeatTN faces a slow economic recovery
