STOCKS SURGE TO ALL-TIME HIGHS: Here's What You Need To Know

First, the scoreboard:

• Dow: 15,624.5, +125.0, +0.8%
• S&P 500: 1,707.1, +21.4, +1.2%
• NASDAQ: 3,675.3, +48.9, +1.3%

And now, the top stories:

• Stocks closed at all-time highs today.
• It's the first of the month, which means we got the manufacturing purchasing managers index (PMI) reports from every major economy in the world. And the big picture is becoming clear: the emerging Asian economies are slowing while the struggling European economies are coming back.
• Manufacturing reports from China, South Korea, Taiwan, and Australia all reflected decelerating growth or out right contraction. China's official NBS PMI actually climbed to 50.3 in July from 50.1 a month ago. But the unofficial HSBC PMI, which is more exposed to small and export-driven companies, fell to 47.7. Any reading below 50 signals contraction.
• Manufacturing reports from Italy, France, Germany, and Greece all improved. The Eurozone composite index climbed to 50.3 in July from 48.8 a month ago. This was the first time this index was above 50 in two years.
• The U.S. continues to be in good shape. The ISM's manufacturing index surged to 55.4 in July from 50.9. Economists were looking for a reading of 52.0. Of note, the employment sub-index jumped to 54.4 from 48.7 a month ago.
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