* Precision Castparts jumps after Berkshire deal
* Disappointing China data boosts stimulus hopes
* Twitter rises after NFL partnership
* IBM up after Buffett comments
* Indexes up: Dow 1.3 pct, S&P 1.1 pct, Nasdaq 0.9 pct (Adds details, changes comment, updates prices)
By Tanya Agrawal
Aug 10 (Reuters) - Wall Street was up about 1 percent on Monday, bouncing back sharply from last week's steep lows, buoyed by optimism around China and Greece, and as Warren Buffett's latest billion-dollar deal showed the M&A boom was alive and well.
Disappointing data out of China boosted hopes for additional stimulus from Beijing, while Greece and international creditors are close to finalizing a multi-billion euro bailout accord.
Buffett's Berkshire Hathaway said it would buy Precision Castparts in a deal valuing the company at $32.3 billion. Precision Castparts' shares jumped as much as 19.3 percent to $231.25, while Berkshire Class B shares fell 1.4 percent to $141.60.
"The market took their cues from China overnight and the Berkshire deal in another factor driving investor sentiment today," said Aaron Clark, a portfolio manager at GW&K Investment Management, which oversees about $25 billion.
With U.S. interest rates near zero for nearly a decade, debt has been cheap. But with the Federal Reserve widely expected to hike rate later this year, merger and acquisition activity has increased.
July was the seventh strongest month for global deal activity since 1980. Up to the end of July, cross-border M&A activity totaled $913.5 billion, up 23 percent from a year ago, according to Thomson Reuters data.
"M&A will continue to be robust because funding is still cheap (even with the proposed rate hike) and excess cash needs to be invested. We are also seeing a lot of activist investor activity," said Clark.
At 11:14 a.m. ET (1514 GMT) the Dow Jones industrial average was up 219.93 points, or 1.27 percent, at 17,593.31. The S&P 500 was up 23.16 points, or 1.11 percent, at 2,100.73 and the Nasdaq composite was up 48.47 points, or 0.96 percent, at 5,092.01.
Nine the 10 major S&P sectors were higher, led by the energy index's 2.1 percent hike as oil prices edged up from six-month lows.
The industrials sector rose 1.81 percent, buoyed by Precision Castparts, which also give the third biggest boost to the S&P 500.
In other deal news, ammonia maker CVR Partners said it would acquire Rentech Nitrogen Partners for about $533 million. Rentech soared 26 percent to $12.98.
Mallinckrodt fell 1.1 percent to $99.31 after the drugmaker said it would buy immunotherapy company Therakos in a deal valued at about $1.33 billion.
U.S. stocks ended lower on Friday, with the Dow closing down for the seventh straight day, after solid July jobs data pried the door open a little wider for a potential rate hike in September.
The Fed has said it will raise rates only when it sees a sustained recovery in the economy. Though the labor market has rebounded, inflation rate stays below the 2-percent target.
However, Fed Vice Chairman Stanley Fischer told Bloomberg TV that U.S. inflation is only temporarily "very low" due in part to commodity prices.
Twitter rose 3.9 percent to $28.10 after the National Football League said it will deliver packaged official NFL video and other content daily to Twitter users as part of multi-year strategic partnership.
IBM rose 1.1 percent to $156.82 after Buffett's comments on CNBC were interpreted to mean that he would be interested in buying more IBM stock.
Advancing issues outnumbered decliners on the NYSE by 2,286 to 642. On the Nasdaq, 1,905 issues rose and 717 fell.
The S&P 500 index showed 29 new 52-week highs and three new lows, while the Nasdaq recorded 34 new highs and 58 new lows. (Reporting by Tanya Agrawal in Bengaluru; Editing by Savio D'Souza)