World shares near five-year high

LONDON Mon May 20, 2013 1:03pm IST

People look at a stock quotation board outside a brokerage in Tokyo May 15, 2013. REUTERS/Toru Hanai

People look at a stock quotation board outside a brokerage in Tokyo May 15, 2013.

Credit: Reuters/Toru Hanai

Related Topics

Stocks

   

LONDON (Reuters) - Rising optimism about global growth pushed world shares to a near five-year high on Monday, while comments from Japan's economy minister that consumers could suffer if the yen falls further lifted it off a 4-1/2 low.

Data last week that showed U.S. consumer sentiment at its strongest in nearly six years continued to support equity markets. MSCI's world index is at its highest since June 2008 as top European shares started the week up 0.2 percent.

With risk appetite dominating, safe-haven German Bunds fell 45 ticks, while gold, also pressured by signs the U.S. Federal Reserve could start winding down its support, extended it longest losing streak in four years to hit a 1-month low.

"We have started to see a series of positive readings coming out of the United States. We are positioned for a rising market and think that the best way is to invest in financials," said HSBC equity strategist Robert Parkes.

In the currency market, focus remained largely on the yen and it edged up from last week's 4-1/2 year low after Japan's economy minister suggested over the weekend the government might be satisfied with its level after it recent slump.

"People say the excessively strong yen has corrected quite a bit. If the yen continues to weaken steadily from here, negative effects on people's lives will emerge," Japanese Economics Minister Akira Amari told a Sunday talk show.

As European trading gathered pace Brent crude held steady at $104.60 a barrel while copper eased 0.36 percent to $7,282.50 a tonne as the talk of the Fed tapering its bond purchases weighed on sentiment.

(Reporting by Marc Jones; Editing by Toby Chopra)

FILED UNDER:

REUTERS SHOWCASE

2015: India Outlook

2015: India Outlook

India in 2014: A dream run for markets  Full Article 

Funding Woes

Funding Woes

Co-founder of SpiceJet seeks time to finalise rescue  Full Article 

Regulating Airfares

Regulating Airfares

India considers temporary cap on airfares - government official  Full Article 

Flying Back on Course

Flying Back on Course

The inside story of the new Airbus A350 jet  Full Article 

Tracking Gold

Tracking Gold

Gold inches higher on weaker dollar, Asian buying  Full Article 

Cyber Attacks

Cyber Attacks

China condemns cyberattacks, but says no proof N.Korea hacked Sony  Full Article 

Connecting Markets

Connecting Markets

China stock connect scheme scorecard throws up surprises  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device  Full Coverage