7 Jun 2012

Offshore markets up

8:30 am on 7 June 2012

Stocks on Wall St jumped on Wednesday as hopes for more monetary stimulus sparked a rebound from recent selling.

The market also got support from a new Federal Reserve report that, while not showing much improvement in the US economy since April, clearly showed no new sign of faltering.

The Dow Jones Index rose 287 points, or 2.4%, to close at 12,415 - its the biggest one day gain since December.

The Nasdaq Composite gained 67 points, or 2.4%, to finish at 2845.

Stocks in Europe also rose on Wednesday.

The FTSE 100 index in London jumped 2.36% to 5384, the DAX in Frankfurt rose 2.09% and the CAC-40 in Paris gained 2.42%.

Other European markets showed similar gains: Madrid was up 2.41% and Milan 3.5%.

The Australian 200 Index rose 12 points, or 0.3%, to finish at 4055 on Wednesday and the NZX 50 rose 44 points, or 1.2%, to close at 3465.

At 8.23am on Thursday, the New Zealand dollar was trading at 76.98 US cents, 77.60 Australian cents, 49.70 pence, 61.04 yen and 0.6125 euro. The Trade Weighted Index was at 70.02.

Brent crude oil was trading at US101.79 per barrel and gold was trading at $US1622.45 per ounce.