(Reuters) - U.S. stocks rose on Tuesday after strong Chinese trade data eased concerns over a slowdown in the world's second-largest economy and pointed to healthy global demand.

The utilities sector led gainers on the S&P 500 as investors took more defensive positions on the view that the recovery was not accelerating as quickly.

China posted an $11.4 billion trade surplus in April, nearly four times greater than expected, after exports hit a record on healthy demand and imports rose less than forecast.

"China's export numbers were very good," said Burt White, chief investment officer at LPL Financial in Boston. "That gave a shot in the arm to this market."

He said the market was relocating its growth expectations and a reallocation of assets is in the works.

"We're in a new position in this business cycle," White said, pointing to a shift "out of oil, basic materials and technology, and more toward companies with stable growth; sectors like utilities ..."

The utilities sector .GSPU rose 1 percent and was the best performer in the S&P 500.

The Dow Jones industrial average .DJI gained 63.91 points, or 0.50 percent, to 12,748.59. The Standard & Poor's 500 Index .SPX added 8.61 points, or 0.64 percent, to 1,354.90. The Nasdaq Composite Index .IXICrose 18.40 points, or 0.65 percent, to 2,861.65.

Microsoft Corp (MSFT.O) fell 0.6 percent to $25.66 after its offer to buy Internet telephone network Skype for $8.5 billion. EBay Inc (EBAY.O), which owns part of Skype, rose 2.7 percent to $34.

Dean Foods Co (DF.N) jumped 14.8 percent to $12.61 after posting higher-than-expected quarterly profit.

As earnings season winds down, investors also awaited results from Dow component Walt Disney Co (DIS.N).

(Reporting by Rodrigo Campos; editing by Jeffrey Benkoe)

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