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GLOBAL MARKETS-Stocks broadly higher as oil rises; euro up vs Swiss franc
February 5, 2015 / 5:23 PM / 3 years ago

GLOBAL MARKETS-Stocks broadly higher as oil rises; euro up vs Swiss franc

* Wall St up after jobless claims data, energy shares rise
    * Greek banking stocks plunge
    * Dollar index falls as euro regains some ground
    * Oil rebounds after dropping 9 pct overnight

    By Ryan Vlastelica
    NEW YORK, Feb 5 (Reuters) - Stock markets around the world
were mostly higher on Thursday as crude oil rebounded, but a
plunge in Greek banking stocks took a toll on European equities
after the European Central Bank's surprise decision to strike
Greek bonds off its list of accepted collateral.
    U.S. equities rose, with energy shares among the biggest
gainers, and were also supported by an upbeat report on the
labor market.
    The pan-European FTSEurofirst share index was flat.
The MSCI International ACWI Price Index rose 0.5
percent.
    The ECB move increases the pressure on Greece to put new
reforms in place. Greek bank shares plunged over 10 percent
, and the country's short-term debt yields surged to
almost 16 percent. 
    The euro rose 0.7 percent against the dollar after
tumbling overnight. The euro also rose against the Swiss franc
on speculation the Swiss National Bank was buying euros and as
currency traders took a sanguine view on developments
surrounding Greece.
    The common currency was helped by the strongest rise in
German industrial orders since early 2008. 
    The U.S. dollar index, which measures the greenback
against a basket of currencies, dipped 0.2 percent. The yen fell
0.1 percent against the dollar.
    U.S. crude futures rose 7.2 percent to $51.92 per
barrel on falling output and rising violence in Libya. Oil has
risen in five of the past six sessions, and so far this year
there have been only four sessions with moves less than 1
percent. Despite the recent rise, oil remains down more than 50
percent from a high reached in June.
    "It will be some time yet before we see any sustained trend
reversal in oil prices," said Carsten Fritsch, an analyst at
Commerzbank. "There's no basis for a sustained recovery at the
moment."
    On Wall Street encouraging jobless claims data, which came a
day before Friday's non-farm payrolls figures, boosted
sentiment, along with news that Pfizer would buy Hospira
Inc for about $15 billion. 
  
    "Employment continues to improve at a fairly moderate pace,
which feels breakneck compared to the past, which means people
are getting jobs and that is a big positive for the economy,"
said David Heidel, regional investment strategist at U.S. Bank
Wealth Management in Minneapolis.
    "The problem is every time we get confirmation that the jobs
picture is improving, it also sparks worries the Federal Reserve
will act sooner (rather) than later to raise rates and continues
this schizophrenic up and down," Heidel said.
    The Dow Jones industrial average rose 158.59 points,
or 0.9 percent, to 17,831.61, the S&P 500 gained 17.27
points, or 0.85 percent, to 2,058.78, and the Nasdaq Composite
 added 33.17 points, or 0.7 percent, to 4,749.87.
    The benchmark 10-year U.S. Treasury note fell
6/32 in price, pushing the yield up to 1.8153 percent.
    Gold prices fell 0.6 percent. Silver lost 1.7
percent. Copper slid after inventories jumped by 13
percent, evidence of weak demand and excess metal.
 

 (Additional reporting by Chuck Mikolajczak; Editing by Leslie
Adler)

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