Mixed signals from companies on the strength of the US economic recovery put financial markets into a holding pattern today despite recent upbeat comments from policymakers.
European stocks and bond prices were slightly higher while the dollar danced around its overnight level against the euro. The unwinding of US Treasury bond prices continued, with yields rising and traders eyeing a preliminary view of US consumer sentiment from the University of Michigan due later in the day .
US Treasury Secretary Mr John Snow, visiting Frankfurt today, repeated the view that the US economy was headed for stronger growth.
But major corporate earnings so far have been mixed, with the likes of Microsoft and Ericsson on the bullish side and IBM and Nokia on the bearish. Torn by contradictory results, European stocks nevertheless managed to edge up.
The FTSE Eurotop 300 index was up 0.63 per cent while the DJ Euro Stoxx 50 index gained 0.42 per cent.
Earlier, Japanese shares closed slightly firmer, snapping a three-day losing streak, as telecoms and other issues dependent on domestic demand pared recent falls ahead of a long weekend.
The Nikkei average finished up 0.30 percent at 9,527.73, following three days of losses in which it shed over 2.5 percent.