Stocks Boosted by Global Manufacturing Data

(TheStreet) -- Stocks gained strength Monday on strong manufacturing data in the U.S. and China and a surprise increase in construction spending in September. The Dow Jones Industrial Average gained 114 points, or 1%, to 11,233. The S&P 500 added 11 points, or 0.9%, to 1194 and the Nasdaq was up by 21 points, or 0.9%, at 2529. Overseas, Hong Kong's Hang Seng surged 2.4% while Japan's Nikkei inched 0.5% lower. The FTSE in London increased 0.2% and the DAX in Frankfurt gained 0.4%. U.S. personal income unexpectedly fell in September, dropping 0.1% after rising 0.4% in August, according to the Bureau of Economic Analysis. Personal spending rose 0.2%, compared with growth of 0.5% in the prior month. Economists had anticipated a 0.3% increase in income and a 0.4% uptick in spending, according to Briefing.com. The Institute for Supply Management's October manufacturing index jumped to 56.9 after hitting 54.4 in September. The level exceeded expectations for a reading of 53.6, according to Briefing.com. The Department of Commerce said construction spending rose 0.5% in September, outpacing projections for a decline of 0.5%, according to Briefing.com. The monthly growth compares to a drop of 0.2% in August. Baker Hughes BHI blew past estimates with third-quarter earnings of 59 cents a share on sales of $4.08 billion. Analysts, on average, had been expecting a profit of 47 cents a share on sales of $3.8 billion. The stock gained 6.1% to $49.24. Continue reading the article.