Get 40% Off
These stocks are up over 10% post earnings. Did you spot the buying opportunity? Our AI did.Read how

GLOBAL MARKETS-Investors lift stocks with mixed earnings

Published 04/23/2009, 07:45 AM
Updated 04/23/2009, 07:48 AM

* Global stocks rise despite mixed earnings

* Yen reverses gains

* Bond yields mixed

By Jeremy Gaunt, European Investment Correspondent

LONDON, April 23 (Reuters) - Investors put aside recent worries about the world economy and banking woes on Thursday, sending global stocks higher and Wall Street on track for a positive start.

Mixed earnings plagued European markets -- with Credit Suisse posting better-than-expected profits and engineering group ABB missing forecasts -- but the mood was generally upbeat.

Euro zone purchasing managers provided the latest "green shoots" data to suggest some economic recovery. They signalled stabilisation in their sectors but also record job losses.

"Conditions in the global economy are looking marginally better," Citi wrote in a note.

"After five months of declines in output and trade that rival the Great Depression, current data point to a slowing pace of contraction in the global economy and a better tone to financial markets."

Globally, equities as measured by MSCI's benchmark were up 0.6 percent while its emerging market counterpart gained 1.4 percent.

The latter reflected an increasing belief among global investors that growth is likely to return sooner in many non-developed economies.

The FTSEurofirst 300 gained 0.6 percent, off earlier lows. Japan's Nikkei average gained 1.37 percent.

YEN REVERSAL

On currency markets, the yen gave up early gains and slipped broadly. It had received a boost from the banking sector concerns earlier in the session.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

"The flows that are coming out are probably from hedge funds. I get the sense that traders are just sticking to short-term trading," said a trader at a major Japanese trading house.

The dollar was up 0.4 percent against the yen at 98.42 yen, after falling to 97.63 yen on trading platform EBS earlier, just shy of a three-week low of 97.57 yen hit on Wednesday.

The euro rose 1 percent to 128.70 yen, having rebounded from a one-month low of 126.10 yen hit earlier this week.

Against the dollar, the euro rose 0.6 percent to $1.3080, up from this week's one-month low of $1.2888.

Euro zone bond yields, which trade inversely to prices were flat.

The 10-year Bund yield was 3.226 percent, while the two-year Schatz yield was .1462 percent. (To read Reuters Global Investing Blog click on http://blogs.reuters.com/globalinvesting; for the MacroScope Blog click on http://blogs.reuters.com/macroscope; for Hedge Hub click on http://blogs.reuters.com/hedgehub)

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.