🥇 First rule of investing? Know when to save! Up to 55% off InvestingPro before BLACK FRIDAYCLAIM SALE

GLOBAL MARKETS-World stock markets rise while yen falls back

Published 10/05/2016, 09:11 pm
Updated 10/05/2016, 09:20 pm
© Reuters.  GLOBAL MARKETS-World stock markets rise while yen falls back
JP225
-
CSGN
-
ESZ24
-
1YMZ24
-
PNDORA
-
ATGI
-
FTEU3
-
MSCIEF
-
MIWD00000PUS
-

* European shares up, Credit Suisse (SIX:CSGN) climbs after earnings

* Japan reiterates readiness to weaken yen

* Greek market rises on prospect of debt relief

By Sudip Kar-Gupta

LONDON, May 10 (Reuters) - World stock markets rose on Tuesday, helped by solid corporate earnings in Europe, progress on Greek debt talks, and a new pledge by Japan that it was prepared to weaken its currency.

The MSCI All-Country World index .MIWD00000PUS climbed 0.4 percent, the pan-European FTSEurofirst 300 .FTEU3 index advanced 1.3 percent, while the MSCI Emerging Market index .MSCIEF also edged higher.

U.S. equity index futures ESc1 1YMc1 rose around 0.5 percent and oil prices also climbed, driven by supply disruptions in Canada and elsewhere. O/R

European stock markets built on positive momentum from earlier on in Japan, where the Nikkei .N225 rose 2.2 percent after Japan's Finance Minister Taro Aso reiterated his resolve to intervene in the currency market if the yen's gains last long enough to hurt Japan's fragile economic recovery. comments sent the yen to its lowest level in almost two weeks against the dollar, and reinforced the backdrop of central banks around the world looking for ways to boost the global economy. FRX/

Hampstead Capital hedge fund manager Lex Van Dam said record low interest rates from the European Central Bank meant equities still offered more attractive returns than cash or bonds, while Clairinvest fund manager Ion-Marc Valahu added that he had bought up European equity positions over the last week.

"Rates are not going anywhere, so buying any dips on the stock market might still be the best strategy," said Van Dam.

European equities were also helped by some decent corporate results.

Shares in Credit Suisse CSGN.VX rose after the Swiss bank reported a smaller-than-expected first quarter loss, while jewellery maker Pandora PNDORA.CO surged after posting higher profits and raising its financial outlook. shares .ATG hit their highest level in 2016 after euro zone finance ministers offered to grant Greece some debt relief, with the move causing Greek 10-year bond yields to fall below 8 percent for the first time in more than six months.

The offer appears to be a compromise between Germany, which does not believe Greece needs additional debt relief, and the International Monetary Fund, which insists it is necessary, and will be fleshed out by deputy finance ministers by May 24. the very least it appears the gap between the IMF and the Germans appears to be narrowing and that has been very well received by investors," said Nick Stamenkovic, bond strategist at RIA Capital Markets.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.