Stocks climb on hopes for U.S. jobs growth

Fri Feb 7, 2014 7:46am EST
 
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By Blaise Robinson

PARIS (Reuters) - Stocks, oil and some base metals climbed on Friday on hopes that a U.S. jobs report due out shortly will ease concerns over the pace of global economic growth, and emerging market assets got a lift following their recent sell-off.

The euro slipped against the dollar and Bund futures rallied after Germany's Constitutional Court referred a complaint over the European Central Bank's flagship bond-buying program to the European Court.

The MSCI All-Country World index .MIWD00000PUS was up 0.3 percent, recovering further from a 6 percent slide that had started in late January, the equity market's steepest pull-back in seven months.

U.S. stock index futures were up 0.2-0.5 percent ahead of the opening bell on Wall Street.

Stock markets worldwide have been rallying since data on Thursday showing a drop in applications for U.S. unemployment insurance. While the data has no direct bearing on January's employment report as it falls outside the survey period, it boosted the mood and eclipsed recent tepid U.S. and Chinese manufacturing data and a rout in emerging currencies.

A Reuters' poll of economists shows non-farm payrolls are expected to have grown by 185,000 last month, snapping back from December's three-year low.

"Following the surprisingly weak figure for December, investors' expectations are quite low this time, so good jobs numbers today could fuel the rebound started this week," Saxo Banque sales trader Andrea Tueni said.

The data, due at 1330 GMT, may also impact expectations about the pace at which the U.S. Federal Reserve will scale back its stimulus, which last year fuelled a sharp rally in risky assets such as equities.   Continued...

 
People walk past an electronic information board at the London Stock Exchange in the City of London October 11, 2013. REUTERS/Stefan Wermuth