US stocks opened higher today as the strengthening US dollar drove global commodity prices down, boosting hopes of a rebound in consumer spending and an easing of inflation.
The Dow Jones industrial average rose 50.64 points, or 0.44 per cent, at 11,666.57. The Standard & Poor's 500 Index climbed 3.94 points, or 0.30 per cent, at 1,296.87. The Nasdaq Composite Index gained 11.05 points, or 0.45 per cent, at 2,464.72.
Meanwhile, European stocks rose, led by retailers and airlines, as falling commodity prices eased concern that inflation will force central banks to lift interest rates.
Carrefour, Ryanair Holdings and Royal Bank of Scotland climbed after prices for oil, gold and copper declined.
European Aeronautic Defence & Space rallied 5.8 per cent as the euro slipped to the lowest since February against the dollar, boosting the value of its overseas sales. The gains were limited as mining companies and oil producers including BHP Billiton, Rio Tinto and BP dropped.
Europe's Dow Jones Stoxx 600 Index added 0.4 per cent to 287.03 at 2.40pm in London, trimming this week's drop to 0.8 per cent. The Stoxx 600 lost 21 per cent in 2008 after surging commodity prices spurred speculation the European Central Bank would increase its benchmark interest rate for a second time this year even as $500 billion of credit-market losses threaten to prolong the economy's slump.
National benchmark indexes climbed in all 14 western European markets that were open except the UK, where commodity producers led declines. France's CAC 40 added 0.8 per cent and Germany's DAX increased 0.1 per cent. The UK's FTSE 100 lost 0.5 per cent.
Reuters/Bloomberg