US STOCKS-Technology shares prop up Wall Street

* Trump says "not yet ready" to make a deal with China
* Activision Blizzard gains after Goldman upgrade
* Global Payments falls after deal to buy peer Total System
* Indexes: Dow 0.45%, S&P 0.46%, Nasdaq 0.63%

(Updates to open)
By Amy Caren Daniel
May 28 (Reuters) - U.S. stocks edged higher on Tuesday,
propped up by the technology sector, but the likelihood of a
protracted trade war between the United States and China kept
gains in check.
Trump on Monday said he was "not yet ready" to make a deal
with China but he expected one in the future. The back-and-forth
between the two sides has sparked worries that the trade war
would lead to a global economic slowdown.
"What you're seeing is kind of an over-sold bounce, we'll
see over the course of the day if that holds," said Michael
Antonelli, market strategist at Robert W. Baird in Milwaukee
"Last week wasn't great, and we start this week with nothing
fresh to trade off of and there is only so much pricing of
tariff fears you can put in markets before you exhaust that as a
downside catalyst."
The benchmark S&P 500 index .SPX as of Friday's close was
about 4% off its record high hit on May 1, while the blue-chip
Dow Jones Industrial index .DJI posted its fifth straight week
of decline.
The technology sector .SPLRCT , which is among the worst
performing this month, was helped by a 7.5% jump in Total System
Services Inc TSS.N .
Global Payments Inc GPN.N said it would buy the payment
technology company for about $21.5 billion in stock. Global
Payments GPN.N was down 0.5%. Advanced Micro Devices AMD.O jumped 5% and also helped
lift the sector, after the chip maker launched new computing and
graphics products at an event in Taipei on Sunday. Rival Intel
Corp INTC.O fell 1.5%.
Among marquee stocks, Facebook Inc FB.O , Amazon.com
AMZN.O , Netflix NFLX.O and Microsoft Corp MSFT.O were up
more than 1% each.
At 10:08 a.m. EDT the Dow Jones Industrial Average .DJI
was up 115.19 points, or 0.45%, at 25,700.88, the S&P 500 .SPX
was up 12.95 points, or 0.46%, at 2,839.01 and the Nasdaq
Composite .IXIC was up 48.12 points, or 0.63%, at 7,685.13.
Investors are concerned that China might opt to weaponize
its holdings of more than $1.1 trillion worth of U.S. Treasuries
to retaliate against the tariffs imposed on Chinese imports.

The uncertainty in markets has sent investors seeking for
safe-haven assets, with yields on the U.S. 10-year notes
US10YT=RR hitting its lowest level since October 2017.
Interest-rate sensitive banking stocks .SPXBK were 0.2%
lower.
Among other stocks, Activision Blizzard Inc ATVI.O rose
5.1% after Goldman Sachs upgraded its stock to "buy" and said
the videogame publisher would benefit from its recent game
releases.
FedEx Corp FDX.N fell 0.3% after Chinese telecoms
equipment maker Huawei Technologies Co Ltd HWT.UL said it was
reviewing its relationship with the U.S. package delivery
company, after it diverted two parcels destined for Huawei
addresses in Asia to the United States. Also adding to the upbeat mood was a report from the U.S.
Conference Board that showed the consumer confidence index rose
to a reading of 134.1 in May, beating estimates of 130.
Advancing issues outnumbered decliners by a 1.68-to-1 ratio
on the NYSE and by a 1.42-to-1 ratio on the Nasdaq.
The S&P index recorded 15 new 52-week highs and six new
lows, while the Nasdaq recorded 36 new highs and 37 new lows.