US STOCKS-Wall Street gains on Boeing, recovery hopes

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* Boeing rises as Third Point reveals stake
* Lyft climbs as trends improve in May
* Coty rises on potential collaboration with Kim Kardashian
West
* Microchip climbs after sale, profit forecast raise
* Indexes up: Dow 0.98%, S&P 500 0.78%, Nasdaq 0.41%

(Updates to open)
By Shreyashi Sanyal and Devik Jain
June 3 (Reuters) - A jump in Boeing shares lifted Wall
Street on Wednesday, with investors remaining optimistic about
an economic rebound from a coronavirus-led slump amid continuing
social unrest in the country.
Boeing Co BA.N rose 5.5% and was the top boost to the
blue-chip Dow Jones index .DJI after billionaire investor
Daniel Loeb's Third Point said it took a stake in the
planemaker. Microchip Technology Inc MCHP.O surged 10.5% after the
chipmaker raised its forecast for current-quarter sales and
profit as it begins making up for lost production due to the
pandemic.
Data on Wednesday showed signs of stabilization in the
domestic labor market after the ADP National Employment Report
said private employers laid off another 2.76 million workers,
lesser than an expected 9 million job losses. The data comes ahead of the more comprehensive jobs report
due on Friday.
Supporting the mood further was the Institute for Supply
Management's (ISM) reading, which showed U.S. services industry
activity pushed off an 11-year low in May. The S&P 500 .SPX and Nasdaq .IXIC have risen in seven of
the past eight sessions, and are now about 8% and 2% below their
respective mid-February record highs, as encouraging economic
data, unprecedented stimulus measures and the lifting of
lockdowns have raised bets on a post-pandemic economic recovery.
Markets have largely looked past brewing Sino-U.S. tensions
and protests in the United States over the death of an unarmed
black man at the hands of the police.
U.S. protesters ignored curfews overnight as they vented
their anger, but there was a marked drop in the violence that
prompted President Donald Trump to threaten to deploy the
military. "Investors are reassured that there won't be any actual
major upheaval in the country ... (and they) believe the
Sino-U.S. relationship can survive this most recent wobble,"
Connor Campbell, financial analyst at SpreadEx said.
"Combine that with general easing measures around the world
regarding the lockdown and markets are pushing quite firmly
higher."
At 10:16 a.m. ET the Dow Jones Industrial Average was up
251.67 points, or 0.98%, at 25,994.32, the S&P 500 .SPX was up
24.07 points, or 0.78%, at 3,104.89 and the Nasdaq Composite
.IXIC was up 39.69 points, or 0.41%, at 9,648.07.
Ride-hailing firm Lyft Inc LYFT.O rose 9.3% after
reporting a jump in rides on its platform in May from the prior
month, helped by strong growth in cities where
coronavirus-induced restrictions have been eased. Coty Inc COTY.N jumped 6.3% after the cosmetics maker said
it was in talks with reality TV star Kim Kardashian West on a
possible collaboration for a beauty line. Zoom Video Communications Inc ZM.O nearly doubled its
expectations for annual sales, driven by a surge in users during
the lockdowns. Its shares were up 1.3% after tripling this year.
Advancing issues outnumbered decliners for a 4.77-to-1 ratio
on the NYSE and a 2.64-to-1 ratio on the Nasdaq.
The S&P index recorded 22 new 52-week highs and no new low,
while the Nasdaq recorded 61 new highs and two new lows.