U.S. stocks opened higher Tuesday to begin the first trading day of the second half of 2014 on a positive note, as investors cheered upbeat Chinese manufacturing data.
China's official data released Tuesday showed growth in the country's manufacturing sector accelerated to a six-month high in June, with the purchasing managers' index (PMI) rose to 51 last month, registering a strong end to the second quarter and an encouraging sign that the world's second-largest economy is further stabilizing.
Later in the morning session, investors will see more manufacturing data from the United States.
Major U.S. automakers are scheduled to post their motor vehicle sales in the U.S. market for June on Tuesday.
General Motors said that its total sales in the United States were up 1 percent in June compared to a year ago, beating market expectations of a sharp drop on concerns of a string of safety recalls due to its ignition switch defect. General Motors shares added 1.07 percent to trade at 36.69 U.S. dollars apiece in early trading.
The major focus of the week will be the U.S. nonfarm payroll report for June scheduled for release on Thursday by the Labor Department, as well as a speech from Federal Reserve Chair Janet Yellen at an conference of the International Monetary Fund on Wednesday.
U.S. financial markets will be closed on Friday for the Independence Day holiday.
U.S. stocks wrapped up the first half of this year higher, with the Dow up 1.5 percent, the S&P 500 up 6.1 percent and the Nasdaq up 5.5 percent.
Shortly after the opening bell, the Dow Jones Industrial Average surged 86.89 points, or 0.52 percent, to 16,913.49. The S&P 500 gained 6.97 points, or 0.36 percent, to 1,967.20. The Nasdaq Composite Index added 24.71 points, or 0.56 percent, to 4,432.89.