Reuters: US Dollar Report: GLOBAL MARKETS-Shares gain as weak data boosts rate cut hopes

Reuters: US Dollar Report Reuters.com is your source for breaking news, business, financial and investing news, including personal finance and stocks. Reuters is the leading global provider of news, financial information and technology solutions to the world's media, financial institutions, businesses and individuals. // via fulltextrssfeed.com

GLOBAL MARKETS-Shares gain as weak data boosts rate cut hopes Jul 3rd 2012, 07:18 Tue Jul 3, 2012 3:18am EDT * European shares up 0.2 pct for third day of gains * Downbeat factory data adds to ECB easing expectations * Euro stays below $1.26 on debt crisis worries * Oil, copper recover with rebound in risk appetite LONDON, July 3 (Reuters) - European shares joined a global rally in stocks on Tuesday as expectations rose that major central banks will take more policy action to support the world economy, after factory data showed the negative impact of the euro zone debt crisis. However, the euro held steady just under $1.26, pressured by reports that Finland and the Netherlands opposed a plan for Europe's new permanent bailout fund to buy government bonds in the secondary market. But market players are mostly focused on the July 5 meeting of the European Central Bank, when it is expected to cut its main interest rate by 25 basis points to 0.75 percent. "If the ECB offers loud support this Thursday with a rate cut and a signal of more to follow in the face of lower growth and inflation, there may be enough fuel for a summer rally in stock markets," said Bill O'Neill, EMEA Chief Investment Officer for Merrill Lynch Wealth Management. After gains on Wall Street and across Asia, MSCI's world equity index was up 0.2 percent at 314.03. The FTSE Eurofirst 300 index also gained 0.2 percent to 1037.26 points, adding to a 4.2 percent jump since Friday. A surprise rise in China's services sector for June also buoyed commodity prices, with Brent crude oil up around $1 a barrel and copper hitting six-week highs of $7,790 a tonne , while gold gained on hopes of more monetary easing. Link this Share this Digg this Email Reprints

You are receiving this email because you subscribed to this feed at blogtrottr.com. If you no longer wish to receive these emails, you can unsubscribe from this feed, or manage all your subscriptions