U.S. shares pushed higher on Tuesday (10/05/2011) local time after Microsoft agreed to buy Skype for 8.5 billion U.S. dollars to provide a strong surge toward technology stocks.
Dow Jones Industrial Average closed up 75.68 points (0.60 percent) at 12,760.36. The S & P 500 rose 10.87 greater (0.81 percent) to 1357.16, while the technology-heavy Nasdaq composite index rose 28.64 points (1.01 percent) to 2871.89.
The market also got a boost from China's trade data showed exports sector in the world's second largest economy is moving forward despite government efforts to cool growth overall.
Microsoft announced the purchase of Skype Internet telephone pioneer investor group Silver Lake at 8.5 billion U.S. dollars in cash, the largest acquisition ever undertaken was the creator of Windows.
Microsoft stock lost 0.6 percent since the news, but shares of eBay, which owns 30 percent of Skype, jumped 2.5 percent.
The Nasdaq jumped 1.1 percent driven by an increase in Cisco and 1.2 per cent rise in Intel shares. Dell also increased by 1.4 percent.
Meanwhile, shares of China's leading social networks in the U.S. market, RenRen, lost 8.0 percent to 14.75 dollars, slightly above their IPO price earlier in the week by 14 U.S. dollars.
Boston Scientific led the decline on the NYSE, fell 9 percent, after the chief executive who has served for two years, Ray Elliott, said he will retire in December.
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