Global stocks rise on Spain bets and data, euro flat

Mon Oct 15, 2012 4:32pm EDT
 
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By Rodrigo Campos

NEW YORK (Reuters) - Global stocks rose on Monday on upbeat U.S. data and earnings and on bets Spain was close to asking for a bailout, but the lack of details on Madrid's next move kept the euro flat.

Data from China over the weekend showing a much higher-than-expected rate of growth in exports offered support to risk markets, but caution remained ahead of data due on Thursday expected to show the world's second-largest economy concluded a seventh straight quarter of slowing growth in September.

Following last week's decline, the largest in four months, U.S. stocks rose as Citigroup posted better-than-expected earnings and September retail sales signaled steady U.S. growth.

Citigroup (C.N: Quote) shares rallied 5.5 percent to close at $36.66, the highest in more than six months.

"After big declines last week we have strong Citi earnings and positive European news. In the short term it takes European stress out and allows markets to focus on earnings and the U.S. consumer," said Quincy Krosby, market strategist at Prudential Financial in Newark, New Jersey.

She said the sales data is encouraging as the retail-heavy fourth quarter gets under way. Data last month showed U.S. consumer confidence jumped to its highest in seven months in September.

The Dow Jones industrial average .DJI rose 95.38 points, or 0.72 percent, to 13,424.23. The S&P 500 .SPX gained 11.54 points, or 0.81 percent, to 1,440.13. The Nasdaq Composite .IXIC added 20.07 points, or 0.66 percent, to 3,064.18.

The S&P is less than 2 percent below its 2012 closing high hit a month ago.   Continued...

 
Traders work on the floor of the New York Stock Exchange at the opening of the trading session in New York October 5, 2012. REUTERS/Mike Segar