Stocks in Europe edge higher, dollar halts decline

Cape Town - Stocks in Europe gained, while the dollar halted three days of losses as Treasury yields rose in sluggish post-Thanksgiving trading.

The Stoxx Europe 600 Index inched higher, led by food companies as China took steps to slash import tariffs on consumer goods. Earlier, Japanese equities erased losses as the yen declined, while a sudden selloff that sent Chinese equities plunging on Thursday fizzled.

Iron ore climbed to a two-month high, while industrial metals headed for the best weekly gain in six. West Texas oil extended a rally after an outage on the Keystone pipeline in the US.

Global stocks are heading into the final weeks of 2017 at record highs as investors place their faith in economic growth and an earnings’ expansion.

The MSCI World Index is on course to complete its best weekly gain since September as evidence continues to mount of a synchronized global economic recovery.

Here are some key events scheduled for the remainder of the week:

Taiwan GDP data. November preliminary US Markit manufacturing and services PMIs.

These are the main moves in markets:

Asia

The Topix index rose 0.2 at the close in Tokyo, bouncing from a drop of 0.6%. The Nikkei 225 Stock Average was up 0.1%, reversing a 0.6% decline. Both indexes are up over the week, their 10th weekly advance in 11.

Australia’s S&P/ASX 200 Index decreased 0.1%. The Hang Seng Index rose 0.5% and the Hang Seng China Enterprises Index of Chinese stocks traded in Hong Kong climbed 1.4% after a 1.9% slide on Thursday.

The Shanghai Composite Index was little up 0.1%.

Stocks

The Stoxx Europe 600 Index increased 0.1% as of 8:07am London time.  The UK’s FTSE 100 Index fell less than 0.05%. Germany’s DAX Index fell less than 0.05%.  The MSCI Emerging Market Index jumped 0.2%.  

Futures on the S&P 500 Index climbed 0.1%.

Currencies

The Bloomberg Dollar Spot Index increased 0.1%.  The euro fell 0.1% to $1.1845.  The British pound was unchanged at $1.3309.  The Japanese yen dipped 0.2% to 111.42 per dollar.

Bonds

The yield on 10-year Treasuries rose two basis points to 2.34%.  Germany’s 10-year yield gained one basis point to 0.36%, the biggest climb in two weeks.  Britain’s 10-year yield fell three basis points to 1.249%.  

Commodities

West Texas Intermediate crude increased 1% to $58.60 a barrel, the highest in more than two years.  

Gold declined less than 0.05% to $1 291.08 an ounce.  Copper rose 0.9% to $3.19 a pound, hitting the highest in more than four weeks with its fifth consecutive advance.