US STOCKS-Wall Street attempts rebound, with help from tech stocks

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* Coca-Cola up as Morgan Stanley upgrades to "overweight"
* Boeing rises ahead of April deliveries report
* Technology rebound after Monday's rout
* Indexes up: Dow 0.52%, S&P 0.54%, Nasdaq 0.52%

(Updates to open)
By Sruthi Shankar
May 14 (Reuters) - U.S. stocks edged higher on Tuesday, as
investors picked up beaten-down technology and industrial stocks
following optimistic comments from Washington and Beijing that
tempered concerns about a further escalation in the trade war.
The S&P 500 .SPX and the Dow .DJI recorded their largest
percentage drops since Jan. 3 on Monday in one of Wall Street's
worst selloffs this year after China hit back with tariffs on
$60 billion worth U.S. goods.
U.S. President Donald Trump said on Monday he would talk to
Chinese President Xi Jinping at a G20 Summit in late June and
China said both sides have agreed to keep the talks going,
helping inject some calm into the markets.
"Investors are trying to scoop up bargains. Maybe things
have gotten a little bit too far overdone to the downside," said
Robert Pavlik, chief investment strategist and senior portfolio
manager at SlateStone Wealth LLC in New York.
"As long as the two sides are talking, the tariffs itself
become background noise."
Technology shares .SPLRCT , which posted their biggest
percentage drop in more than four months in the previous session
rose 0.92% and boosted markets.
The sector was lifted by shares of iPhone maker Apple Inc
AAPL.O , Microsoft Corp MSFT.O and chipmakers, all of which
took a hard hit on Monday as they rely on China for a large part
of their revenue.
Prospects of the global economy being derailed by the United
States and China sliding into a fiercer, more protracted dispute
has knocked more than 4% off the S&P 500 since hitting an
all-time high on May 1, putting the index on course for the
biggest monthly decline since December.
At 10:07 a.m. ET the Dow Jones Industrial Average .DJI
was up 132.85 points, or 0.52%, at 25,457.84, the S&P 500 .SPX
was up 15.15 points, or 0.54%, at 2,827.02 and the Nasdaq
Composite .IXIC was up 39.93 points, or 0.52%, at 7,686.96.
A Labor Department report showed U.S. import prices rose
less than expected in April as increases in the cost of
petroleum and food were tempered by the largest drop in the
price of capital goods in 10 years, suggesting inflation could
remain tame for a while. Data showed import prices increased 0.2% last month, while
economists polled by Reuters had forecast a 0.7% rise.
Federal Reserve's New York chief John Williams, a voter in
the interest rate setting committee this year, said on Tuesday
the recent U.S. tariffs imposed on Chinese goods will boost U.S.
inflation and could dampen economic growth. Nine of the 11 major S&P sectors were higher, led by a 1.1%
gain in energy stocks .SPNY as oil prices rose. O/R
Coca-Cola Co's shares KO.N rose 2.2% after Morgan Stanley
upgraded the stock to "overweight", saying higher growth has not
been priced into the stock's valuation. Walt Disney Co's shares DIS.N gained 0.7% after it signed
a pact with Comcast Corp CMCSA.O to assume full operational
control of streaming service Hulu.
Boeing Co shares BA.N were up 0.8% ahead of April
deliveries report, expected later in the day.
Advancing issues outnumbered decliners for a 2.18-to-1
ratio on the NYSE and a 1.92-to-1 ratio on the Nasdaq.
The S&P index recorded 11 new 52-week highs and three new
lows, while the Nasdaq recorded 20 new highs and 45 new lows.