Monday, November 20, 2017
 
 
News: Page (1) of 1 - 08/23/11 Email this story to a friend. email article Print this page (Article printing at MyDmn.com).print page facebook
World stock markets rise after Wall Street gains
World stocks gain after gyrating markets on Wall Street and Europe end with modest gains
By The Associated Press

BANGKOK (AP) ' World stock markets regained some vitality Tuesday as investors hung hopes on action from the Federal Reserve to keep the U.S. from sliding back into recession.

Oil prices rose to near $86 a barrel as traders scaled back expectations that Libyan oil would be quickly restored to world markets as fighting raged in Tripoli between rebels and forces loyal to Gadhafi. The dollar weakened against the yen and the euro.

European shares were higher in early trading. Britain's FTSE 100 rose 1.5 percent to 5,171.26. Germany's DAX gained 2.8 percent to 5,625.16 and France's CAC-40 gained 2.7 percent to 3,132.43.



Wall Street was heading for a second straight day of gains, with Dow Jones industrial futures 1.4 percent higher at 10,997 and S&P 500 futures 1.7 percent higher at 1,142.10.

Global stocks have been volatile in recent weeks as investors swung between fears of a double-dip recession in the U.S. and hopes that Federal Reserve Chairman Ben Bernanke will announce some kind of action to help the economy during an annual economics conference in Wyoming on Friday.

Japan's Nikkei 225 rose 1.2 percent to close at 8,733.01 and Hong Kong's Hang Seng gained 2 percent to 19,875.53. South Korea's Kospi jumped 3.9 percent to 1,772.39.

Benchmarks in Singapore, Taiwan, India, Indonesia and the Philippines were also higher.

Chinese shares advanced for the first time in six trading sessions as investors bargain-hunted following the release of a survey suggesting better than expected manufacturing data for August.

The benchmark Shanghai Composite Index rose 1.5 percent 2,554.02 and the Shenzhen Composite Index added 1.8 percent to 1,144.05. Shares in cement and other building materials led the gains.

"A correction was due after investors overreacted to the selloffs in foreign markets days before, and also there was speculation that the manufacturing data could be better than earlier forecast," said Cai Dagui, an analyst at Ping'an Securities, based in Shenzhen.

A "flash" manufacturing survey by HSBC showed Chinese output contracting, but improving from a 16-month low in July, rising to 49.8 from 49.3 in July. The flash survey of purchasing managers includes 85 percent to 90 percent of the responses of a monthly survey on manufacturing trends that is usually released on the first of the month.

Investors also found relief in expectations that oil prices would fall if Libyan rebels gain complete control of the capital of Tripoli. A new government in Libya could clear the way for a return to oil production, which was halted six months ago amid a rebellion against the Gadhafi regime.

Falling oil prices also could help mitigate the effects of high inflation that has persisted across much of Asia, threatening growth prospects.

Rising metals prices, especially gold ' which ended Monday just shy of $1,900 an ounce ' boosted mining shares. Energy Resources of Australia Ltd. shot up 7.8 percent. Australia's Fortescue Metals Group gained 4.1 percent. Zijin Mining Group Co., China's biggest gold miner, rose 2.2 percent.

On Monday, the Dow Jones industrial average rose 0.3 percent to close at 10,854.65. The S&P 500 rose less than 0.1 percent to 1,123.82. The Nasdaq rose 0.2 percent to 2,345.38.

Bernanke's speech Friday could have a major impact on markets, as it did last year when he hinted that the Fed was about to embark on a second round of bond buying known as quantitative easing to support financial markets and the economy.

The buying program ended in June. Some investors hope that Bernanke will reinstate bond purchases because of recent evidence of a weakening U.S. economy that triggered a stock market sell-off in August.

Benchmark oil for September delivery was up $1.46 to $85.88 a barrel in electronic trading on the New York Mercantile Exchange. Crude rose $1.86 to settle at $84.12 on Monday.

In London, Brent crude for October delivery was up 15 cents per barrel to $108.57 on the ICE Futures exchange.

The euro rose to $1.4440 from $1.4373 late Monday in New York. The dollar weakened to 76.65 yen from 76.72 yen.

___

AP researcher Fu Ting contributed from Shanghai.


Page: 1


 
 
 
 
 
 
 
 
 
 
 





Our Privacy Policy --- About The U.S. Daily News - Contact Us - Advertise With Us - Privacy Guidelines