By Marc Jones
LONDON (Reuters) – Reassuring Chinese data lifted global stocks to an eight-month high on Friday, although Europe ended a week of strong contrary submitted after an attack by a gunman driving a truck in southern France killed at least 84 people.
The British FTSE 100 and Germany’s DAX index managed to shake off a bath early to be at the same level again, but CAC40 of France remained 0.4 percent lower after a gunman Thursday night embedded in a crowd celebrating Bastille Day in the Riviera resort of Nice.
News, however, China’s economy grew a little better than expected 6.7 percent in the second quarter as the government stepped up spending helped extend overall pick of the week in risk assets.
46-All World country MSCI stock index was at its highest since early November after a jump of 2.7 percent in the week.
The mine, which took a beating after the UK voted last month to leave the European Union, was created for its best week against the safe haven Japanese yen, up approximately 9 percent. It was also 3.7 percent on the dollar and more than 3 percent against the euro. [GBP /] [FRX /]
For adverse headlines the risk that the yen has been a brutal week throughout the middle of the conversation authorities are preparing another drink large stimulus.
It is trading down nearly 0.5 percent to ¥ 105.81 per dollar in early trading in Europe after falling as low as 106.27 overnight and was heading for a weekly drop of 5 percent, its highest since February 1999. [FRX /]
“Data from China is helping risk sentiment,” said Yujiro Goto, currency strategist at Normura. “Overall, we’ve had some good headlines this week, as well as political stability in the UK, expectations of increased Japanese stimulus and they are helping investors to sell the yen.”
There has been a big change in direction in the bond markets also after a scorching rally, one month.
Yields on benchmark 10-year German bond, which move inversely to price, was established for its biggest weekly gain in almost three months, and Treasuries US for which it was established to be the largest of exactly one year.
Investors perceive the overall approach may be shifting towards tax rather than stimulation of the central bank, which has been pushing global borrowing costs to record levels for years.
In the commodity markets, oil prices [S / R] ran back below $ 47 a barrel after data showed weak US fuel demand ..
However, data from China pushed benchmark solid metallic copper industry to its best week in four months [MET / L] like gold as a safe haven from its first weekly drop since May. [GOAL /]
“We had a big selloff in the bond market as a safe haven and that’s partly because we had such a strong rally, but also because there have been some really positive from other parts of the world this week news,” said Owen Callan , an analyst at Cantor Fitzgerald.