* Euro zone ministers to meet on Saturday to decide on Greece
* Chinese premier says country’s economic growth stabilizing
* Investors awaiting Yellen’s speech
* Barracuda shares slump after rating cut
* Indexes up: Dow 1.14 pct, S&P 1.11 pct, Nasdaq 1.14 pct (Updates to open)
By Tanya Agrawal
July 10 (Reuters) - Wall Street opened sharply higher on Friday on hopes that Greece might be able secure fresh funding and after China’s premier said the country’s economic growth was stabilizing.
All the three major indexes were up more than 1 percent, with the Dow Jones Industrial average and the S&P 500 in positive territory for the month.
Greece made substantial concessions in its latest proposal to lenders, including new tax hikes, in return for $59 billion to help cover debts until 2018.
Euro zone finance ministers will meet on Saturday to decide on a third bailout for Athens.
U.S. markets had fallen sharply earlier in the week as concerns over a slowdown in China, a drop in commodity prices and the Greece crisis spooked investors.
“The U.S. market is a little bit overvalued and is looking to correct,” said Peter Cardillo, chief market economist at Rockwell Global Capital in New York.
“The fall we saw last week was the market looking for every little reason to correct.”
Global markets were supported by a continued recovery in China’s stock market, which rose strongly for a second day, helped by a barrage of support measures from the government.
Panic selling had slashed a third of the value off mainland markets since its peak in June.
Chinese Premier Li Keqiang said the country would make more targeted changes to its policies to support the economy and promised to increase the transparency of China’s capital and money markets.
Investors will also look for clues regarding the timing of an interest rate hike in the United States, when Federal Reserve Chair Janet Yellen speaks at a conference in Cleveland, Ohio.
Yellen, scheduled to speak at 12:30 p.m. ET (1630 GMT), will give her views on the prospects for U.S. growth, inflation and the job market.
Data showed U.S. wholesale inventories rose at their fastest pace in six months in May.
At 9:42 a.m. ET the Dow Jones industrial average was up 200.17 points, or 1.14 percent, at 17,748.79, the S&P 500 was up 22.68 points, or 1.11 percent, at 2,073.99 and the Nasdaq Composite was up 56.19 points, or 1.14 percent, at 4,978.58.
All of the 10 major S&P 500 sectors were higher, with the technology index leading the advancers with a 1.4 percent rise.
U.S. quarterly earnings season kicked off earlier this week, with Pepsi and Alcoa reporting better-than- expected sales.
However, corporate earnings are estimated to have fallen 3.1 percent in the second quarter, according to Thomson Reuters data.
Barracuda Networks’ shares slumped 18.3 percent to $31.80 after JPMorgan cut its price target on the data storage and security provider’s stock.
Cablevision jumped 7.6 percent at $26.74 on a Wall Street Journal report that French billionaire Patrick Drahi is looking at cable targets for acquisitions.
Zillow fell 6.8 percent to $79.57, a day after the company said its chief financial officer was leaving the company to pursue other business interests.
Syngenta rose 4 percent at $83.64 after Monsanto President Brett Telemann allayed concerns of some U.S. soybean growers that a deal between the two could push up prices. Monsanto was up 1.2 percent at $107.80.
Advancing issues outnumbered decliners on the NYSE by 2,355 to 388. On the Nasdaq, 2,070 issues rose and 341 fell.
The S&P 500 index showed eight new 52-week highs and four new lows, while the Nasdaq recorded 35 new highs and 11 new lows. (Reporting by Tanya Agrawal; Editing by Saumyadeb Chakrabarty)