European stocks climb; Athens surges on hopes of bailout deal
Europe’s main stock markets rose Thursday, with Greek shares soaring on hopes that Athens could be close to a deal with its creditors, analysts said.
Athens’ main index was up 7.12 percent to 815.26 points in early afternoon deals.
Elsewhere, London’s benchmark FTSE 100 index of top companies rose 0.45 percent to 6,860.87 points and the CAC- 40 in Paris climbed 0.70 percent to 4,969.65.
Frankfurt’s DAX 30 index won 0.74 percent to 11,349.21 points compared with Wednesday’s closing level.
Asian Stocks Higher after
Wall Street Rally
Asian markets rallied Thursday following a strong close on Wall Street and hopes for a Greek debt deal, while the dollar recovered after the previous day’s sharp losses.
Tokyo climbed 1.68 percent, or 336.61 points, to 20,382.97 thanks to a weaker yen and Sydney added 1.43 percent, or 78.10 points, to 5,556.70.
Seoul ended 0.26 percent higher, adding 5.29 points to 2,056.61, after the central bank cut its key interest rate in a bid to boost the economy, which has been hit by an outbreak deadly MERS virus.
Shanghai reversed morning losses to close up 0.30 percent, or 15.56 points, at 5,121.59 while Hong Kong tacked on 0.83 percent, or 220.21 points, to close at 26,907.85.
The three main indexes in New York enjoyed one of their best days for weeks thanks to a surge in banking and technology stocks as well as optimism over the Greek debt crisis.
Dealers welcomed news German Chancellor Angela Merkel and French President Francois Hollande would meet Greek Prime Minister Alexis Tsipras at an EULatin America summit, encouraging hopes for a deal to extend Greece’s bailout funding.
The Dow jumped 1.33 percent, the S& P 500 rose 1.20 percent and the Nasdaq gained 1.25 percent.
Later in the day the three European leaders said they had agreed to work harder for a deal that will unlock billions of euros much needed by Athens to service its debts and avert a default that could see it tumble out of the eurozone.
In Seoul, a surprise interest rate cut from the South Korean central bank offset fears over the impact
of the of a deadly MERS virus outbreak that has already hit businesses in the country.
The bank announced the move in an attempt to ward off further economic pain from the largest outbreak of Middle East Respiratory Syndrome ( MERS) outside Saudi Arabia, which has killed 10 people so far and infected 122.
Businesses including shopping malls, restaurants and cinemas have reported a sharp drop in sales as people shun public venues with large crowds. More than 54,000 foreign travelers have also canceled visits this month.
Gold f etched US$ 1,179.55 compared with US$ 1,188.80 late Wednesday. In other markets: — Wellington rose 0.94 percent, or 54.55 points, to 5,858.41.
— Manila closed 1.62 percent, or 119.45 points, higher at 7,503.72.
— Bangkok closed up 0.72 percent, or 10.77 points, at 1,514.81.
— Singapore closed up 0.66 percent, or 21.90 points, at 3,347.67.
— Kuala Lumpur fell 0.05 percent, or 0.87 points, to 1,734.76.
— Jakarta ended up 0.10 percent, or 4.74 points, at 4,928.81.
— Mumbai fell 1.75 percent, or 469.52 points, to 26,370.98.