1:00PM NY, 5:00 PM Frankfurt European markets closed mostly higher, boosted by mining and oil stocks.

European stock markets finished mostly higher Friday for a sixth session in a row, as stronger-than-expected U.S. economic data helped ease concerns about imminent recession, giving a boost to metals and oils producers. Steelmaker Arcelor Mittal and oil giant Royal Dutch Shell were leading advancers. Across the region, France climbed 0.8%, the U.K. gained 0.4%, while Germany closed down 0.1%.

In Frankfurt stocks declined, with banks and insurers standing out as the worst performers. Europe''s largest insurer Allianz lost 0.9% and Commerzbank declined 1%. Premiere AG tumbled 7.8% after Germany''s biggest television broadcaster said it plans to sell new shares. On the positive side, truck maker Man AG rose 4.5% on speculation of an imminent joint venture agreement in China.

In Paris gainers were led by Arcelor Mittal, with the miner rising 6.2% after Merrill Lynch & Co. upgraded the stock. Carrefour, Europe''s largest retailer, paced the advance, rising 2.2%. Among other notable movers, Bourse Direct surged 7.2% on strong first-half net income, while Coil climbed 4.6% in upbeat profit outlook.

In London metals stocks posted solid gains after Lehman Brothers advised clients to increase holdings of European mining stocks. BHP Billiton rose 1.5% and Rio Tinto Group jumped 2.4%. Oil giant Royal Dutch Shell rose 1%. Wolseley Plc advanced 2.6% on strong sales data in U.S. Kingfisher, home-improvement retailer, rose 1.7%. Banks including the Royal Bank of Scotland declined amid continuous credit markets concerns.


11:30AM Market averages advanced on strong home sales in July.

U.S. stocks were pushed higher Friday by easing concerns about credit markets and economic recession on the back of a larger-than-expected increase in new home sales in July and surging durable-goods orders. At the same time, upbeat economic reports diminish investor optimism that the Fed Reserve will intervene by cutting its key interest rate before the official meeting on 18 September.

In corporate news, Home Depot (HD: chart) added 1.3% on reports that it may receive $1.2 billion less than anticipated for the sale of its wholesale distribution business. Bank of China fell over 5% in Hong Kong after officials disclosed the bank had almost $10 billion of exposure to securities backed by U.S. subprime mortgages.

Morgan Stanley (MS: chart) cut its forecast for retail sales growth in 2008, saying that the current credit markets woes will affect consumer spending. Retail stocks were given a boost by strong earnings in the sector. Ann Taylor (ANN: chart) rallied 6%, despite posting a 27% decline in Q2 profit. Gap (GPS: chart) shares rose 5.5% after posting 19% in Q2 profit on lower costs.

H. J. Heinz Co. (HNZ: chart) posted 6% earnings rise in Q1 to 63 cents per share, up from 58 cents per share, a year ago, helped by 9% sales growth to $2.25 billion. Analysts had expected profit of 63 cents per share on revenue of $2.23 billion. Burger King Holdings (BKC: chart) swung to profit in Q4 to 26 cents per share, versus a loss of 8 cents per share a year ago. Sales rose 11% to $590 million.

In midday trading, the Dow Jones industrial average rose 15.29, or 0.12%, to 13,251.17. The Standard & Poor''s 500 index rose 1.10, or 0.08%, to 1,463.60. The Nasdaq composite index rose 2.83, or 0.11%, to 2,544.53. Bonds rose, with the yield on the benchmark 10-year Treasury note falling to 4.62% from 4.63% late Thursday.


11:00AM New York, 8:30PM Mumbai – Sensex in Mumbai trading recovered after political worries on ruling coalition receded.

Sensex gained 260.89 or 1.8% to close at 14,455.59 as market focused on stocks and not on political worries. CNX Nifty rose 75.20 or 1.83% to close at 4,190.15.

Of the stocks listed on the Bombay Stock Exchange, 1,581 gained, 1,112 declined, and 62 were unchanged. Daily turnover on the exchange fell to 3,608 crore rupees from 4, 914.46 crore rupees. Turnover on National Stock Exchange

Of the 30 stocks in the Sensex, 27 gained and 3 fell.

Financial Technologies has acquired 4.5 lakh shares (or 450,000 stocks) in National Stock Exchange at average price of 2,778 rupees. The block trade was carried out at a total price of 125 crore rupees to purchase the stake in the exchange from ICICI Bank. FTIL stock drifted 0.5% lower to 2,040 rupees on the news.

State Bank of India jumped 3.8% to 1,469 rupees after Parliament of India approved the transfer of Reserve Bank of India to the Union Government. On a separate note, a block trade for the stock priced at 1,750 rupees, at a premium of 24% was executed today.

Tata Motors soared 6% to 660.15 rupees after launching two new light commercial vehicles. Bharat Heavy Electricals jumped 5.3% to 1,750 rupees after falling in the previous session. Two days ago company received power equipment order of 6,500 crore rupees from Damodar Valley.

Larsen & Toubro is seeking shareholder approval to raise $700 million in international markets. The stock jumped 1.6% to 2,435 rupees on the news. Madhucon Projects soared 8.8% to 243.80 crore rupees after block trading in stock worth 3% of company equity changed hands at 229 rupees. Areva T&D India gained 4.9% to 1,480 rupees on the news that the company has received 63 crore rupees order from Essar Steel and 34 crore rupees.

Cement stocks advanced for the second day in a row. Birla Corporation and India Cements jumped 5.7%, ACC gained 3.8%, and Ambuja Cement rose 2.3%. Grasim edged higher 0.4% to 2,762 rupees. The open bid from Holcm for Ambuja Cement sparked the rally.

Western India Shipyard soared 4.8% to 17.25 rupees after ABG Shipyard agreed to buy 40% stake in the company at 200 crore rupees from ICICI Bank. ABG Shipyard fell 6% on the news.

Gujarat State Petronet increased 3.5% to 55.55 rupees after the company board approved a sale of 22 million shares to International Finance Corporation. The private placement is likely to raise $30 million.


09:45AM Wall Street opened little changed ahead of housing data.

Wall Street opened near the flat line, reflecting a stronger-than-expected durable goods data and nervousness ahead of new home sales report. However, market sentiment received a boost from a larger-than-expected increase in new home sales in July which helped ease recent worries about credit markets.

The Commerce Department said that sales of new home rose 2.8% in July to a seasonally adjusted annual rate of 870,000, stronger than the 820,000 annualized pace expected by economists. According to another Commerce Department report released earlier today, orders for durable goods surged 5.9% in July, by far above the expected 1.5% gain.

Home Depot (HD: chart) shares rose 2% amid reports that the company may receive $1.2 billion less than anticipated for the sale of its wholesale distribution business to private equity firms.

Tech stocks were weak in early trading, with Marvell Technology Group (MRVL: chart) falling 11% after it offered a soft gross margin forecast. Other notable decliners were Research In Motion (RIMM: chart) and Microsoft (MSFT: chart), losing 1.4% and 0.5%, respectively. Cisco Systems (CSCO: chart) edged down 0.4%.