The Dow Jones industrial average climbed 0.3 percent, the broad-based S&P 500 index 0.4 percent and the tech-heavy Nasdaq composite index 0.6 percent.
This follows data showing that producer prices in the US rose 5.5 percent in June compared with a year earlier. This was a smaller increase than the average forecast of 6.2 percent.
In addition, relatively mild inflation data were released, which is seen as reducing the risk of an interest rate hike in the US.
After a bid worth the equivalent of just over SEK 513 billion for PayPal, the payment services company's stock surged 17.2 percent.
Technology giants Microsoft, Amazon, Alphabet and Apple climbed 2.8-4.0 percent.
The increase in futures prices for oil slowed during the day. A barrel of North Sea oil now costs $85.8 after rising 1.3 percent during the day.
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