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The Dow Jones Industrial Average was up 75.91 points (0.60 percent) at 12,760.59 in closing trade.
The broader S&P 500 index gained 10.89 (0.81 percent) at 1,357.18, while the tech-heavy Nasdaq Composite rose 28.64 points (1.01 percent) to 2,871.89.
Microsoft announced it is buying Internet phone pioneer Skype from investor group Silver Lake for $8.5 billion dollars cash, the Windows creator's largest-ever acquisition.
Markets also got a boost from Chinese trade data showing the export sector world's second largest economy was powering ahead despite government efforts to cool overall growth.