China’s economy expanded at a greater-than-expected 8.9% in the fourth quarter to boost the markets to a sharply higher open with the Dow soaring 119 points to 12,541. Nasdaq climbed 26 points to 2736.

On the upside

Blackbaud offered a premium of approximately $312 million in cash to acquire Convio (Nasdaq: CNVO). 

Pembina Pipeline will acquire Provident Energy (NYSE: PVX) in a stock deal valued at approximately $3.1 billion.

Venoco (NYSE: VQ) accepted a $770 million acquisition offer from its chairman and chief executive Timothy Marquez.

On the downside

Citigroup (NYSE: C) disappointed with lower fourth quarter earning that fell far short of analyst expectations.  

Carnival (NYSE: CCL) cruise ship Costa Concordia partially sank off the coast of Italy on Friday, killing at least six people.

Kinross Gold (NYSE: KGC) warned of higher production costs for 2012.

In the broad market, advancing issues outpaced decliners by a margin of nearly 7 to 2 on the NYSE and by nearly 5 to 2 on Nasdaq. The Russell 2000 which tracks small cap stocks rose 5 points to 769.