US STOCKS-Futures rise sharply after China data, Basel deal

* Bank shares lifted after Basel III agreement

* Upbeat China factory data boosts economic optimism

* Futures up: Dow 87 pts, S&P 8.8 pts, Nasdaq 15.5 pts

* For up-to-the-minute market news see [STXNEWS/US] (Writes through, adds byline, quote, details)

By Leah Schnurr

NEW YORK, Sept 13 (Reuters) - U.S. stock index futures rose strongly on Monday after upbeat Chinese factory data and a deal on global bank rules that give lenders more time before they must raise additional capital.

Global regulators agreed Sunday to force banks to more than triple top-quality capital reserves in an effort to prevent another credit crisis. But the new rules, known as "Basel III," give lenders transition periods that could extend to January 2019 or later -- more time than many bankers expected. For details, see [ID:nLDE68B0BP]

Bank shares boosted European markets, with the pan-European FTSEurofirst 300 <.FTEU3> gaining 0.8 percent. Among U.S. banks, Citigroup Inc was up 1.5 percent at $3.97 in premarket trade, while Bank of America Corp rose 2.4 percent to $13.87. The Select Sector Financial SPDR added 1.5 percent to $14.75.

Chinese factories ramped up production in August, data showed, and money growth easily topped expectations, helping to give futures a positive tone. The data built on recent improved sentiment in U.S. markets as worries eased over whether the economy was headed back into recession. [ID:nTOE68A00H]

"The good economic news out of China is leading to some renewed optimism on the economic front," said Andre Bakhos, director of market analytics at Lek Securities in New York.

"This appears to be spurring a renewed interest in equities as investors start recognizing a recently neglected asset class that's offering a value element."

S&P 500 futures rose 8.8 points and were above fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures gained 87 points, and Nasdaq 100 futures added 15.5 points.

S&P 500 futures indicated a gain of about 1 percent at the opening bell. A positive day for the S&P 500 and Dow would amount to a fourth straight winning session. The broad S&P 500 has rallied nearly 6 percent since the end of August.

Hewlett-Packard Co said it would buy cybersecurity company ArcSight Inc for $1.5 billion, the latest in a series of technology-sector transactions. ArcSight surged almost 24 percent to $43.50 after being halted, while HP was up 0.7 at $38.55. [ID:nSGE68C0H6]

British oil major BP Plc believes compensation claims related to its Gulf of Mexico oil spill will be less than the $20 billion it put into an independent claims fund, analysts at Citigroup said after meeting with incoming Chief Executive Bob Dudley. BP's U.S.-listed shares added 0.9 percent to $38.57. [ID:nLDE68C05E]

Car rental company Hertz Global Holdings Inc struck a sweetened $1.56 billion deal to buy Dollar Thrifty Automotive Group Inc on Sunday, outdoing a rival bid from Avis Budget Group Inc . Dollar Thrifty jumped 4.1 percent at $50. [ID:nN12263946] (Editing by Jeffrey Benkoe)