(Adds U.S. markets' closing levels, quotes)
* Wall St snaps six-day losing streak; tech stocks lead
* China trade surplus with U.S. hits record high
* Dollar recovers; debt yields rise
By Caroline Valetkevitch and Laila Kearney
NEW YORK, Oct 12 (Reuters) - Stock markets worldwide rebounded on Friday after a multi-day sell-off but still registered their biggest weekly losses in months, while U.S. Treasury yields rose and the dollar held its gains.
Wall Street snapped a six-day losing streak as investors looked for bargains even as worries about U.S.-China trade tensions lingered. Technology shares led the gains.
"People are starting to buy in, thinking the higher-flying growth stocks were oversold," said Janna Sampson, co-chief investment officer at OakBrook Investments LLC in Lisle, Illinois.
But until the United States and China reach a trade deal, the rebound could be vulnerable as investors are anxious about the impact of tariffs on corporate profits. "If earnings come out good I think this rally is sustainable if we don't get negative trade news," she said.
Kicking off the U.S. earnings reporting period, three of the largest U.S. banks reported double-digit profit growth on Friday. The results reflected an array of positive business factors including a lift from cost-cutting programs implemented after the 2007-2009 financial crisis. three major U.S. stocks indexes posted their biggest weekly percentage declines since March 23, while the small-cap Russell 2000 index .RUT fell 5.2 percent for the week, its biggest weekly drop since January 2016.
The biggest market shakeout since February has been blamed on factors including fears about the impact of the U.S.-China tariff fight, a spike in U.S. bond yields this week and caution ahead of earnings season. Dow Jones Industrial Average .DJI rose 287.16 points, or 1.15 percent, to 25,339.99, the S&P 500 .SPX gained 38.76 points, or 1.42 percent, to 2,767.13 and the Nasdaq Composite .IXIC added 167.83 points, or 2.29 percent, to 7,496.89.
For the week, the S&P 500 was down 4.1 percent.
The pan-European FTSEurofirst 300 index .FTEU3 lost 0.25 percent and MSCI's gauge of stocks across the globe .MIWD00000PUS gained 1.10 percent. The MSCI index was down 3.9 percent for the week in its biggest weekly decline since March 23.
U.S. Treasury yields edged up, recovering from falls in the previous session, as investors unwound safe-haven bids. 10-year U.S. Treasury notes US10YT=RR last fell 10/32 in price to yield 3.167 percent, from 3.131 percent late on Thursday. dollar climbed against a basket of currencies along with the rebound in equities and as robust Chinese export figures soothed worries about the world's second-biggest economy and its trade war with Washington. trade surplus with the United States hit a record high in September, providing a likely source of contention with Trump over trade policies and the yuan currency. data showed solid expansion in China's overall imports and exports, suggesting little damage to the country from the tit-for-tat tariffs with the United States. dollar index .DXY rose 0.25 percent, with the euro EUR= down 0.3 percent to $1.1558. XAU= was down 0.5 percent at $1,217.81 an ounce. On Thursday, bullion jumped about 2.5 percent on safe-haven buying during the equities selloff. oil futures ended slightly higher, following gains in the stocks market, after earlier swinging lower on a weakening demand outlook. crude CLcv1 rose 0.5 percent to settle at $71.34 a barrel, while Brent LCOcv1 gained 0.2 percent to $80.43.
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https://reut.rs/2OlBtHS GRAPHIC-Global assets in 2018
http://tmsnrt.rs/2jvdmXl GRAPHIC-World FX rates in 2018
http://tmsnrt.rs/2egbfVh GRAPHIC-Emerging markets in 2018
http://tmsnrt.rs/2ihRugV GRAPHIC-MSCI All Country World Index Market Cap
http://tmsnrt.rs/2EmTD6j
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