Stocks rose for a third straight day on Monday after Google and two other companies announced acquisitions and Japan said its economy was stronger than expected following the March earthquake.
The return of ‘Merger Monday' on Wall Street temporarily helped ease worries about the U.S. economy. A report showed that manufacturing in New York has worsened in August for the third straight month.
About 30 minutes after trading began, the Dow Jones industrial average rose 115 points, or 1 per cent, to 11,385. The S&P 500 index rose 13, or 1.2 per cent, to 1,193.
In the energy industry, offshore driller Transocean Ltd. said it will buy Aker Drilling of Norway for $1.43 billion in cash.
