“Stocks and commodities rallied as China vowed to maintain its growth target and investors bet central banks will continue stimulus measures. U.S. equity-index futures rose after the Dow Jones Industrial Average climbed to within 0.3 percent of a record close yesterday.
The Stoxx Europe 600 Index climbed 1.2 percent at 6:35 a.m. in New York. Dow futures climbed 0.2 percent. The Shanghai Composite Index (SHCOMP) rebounded 2.3 percent from its biggest loss since August 2011. The Standard & Poor’s GSCI gauge of 24 commodities rose 0.4 percent, as copper jumped 0.6 percent and New York oil advanced 0.2 percent. Italy’s 10-year bond yield fell 11 basis points to 4.77 percent and the rate on similar- maturity Portuguese notes fell to a one-month low.
China will keep its economic growth target at 7.5 percent for this year and plans a 10 percent jump in fiscal spending, the government said during the start of the National People’s Congress today. European finance chiefs may next month commit to giving Ireland and Portugal more time to repay bailout loans, Economic and Monetary Affairs CommissionerOlli Rehn said yesterday. Euro-area services output shrank less than initially estimated in February, a report showed before U.S. data that many indicate the services industry kept growing last month.
“The continued penchant for monetary largesse by the major central banks around the world still does provide an unprecedented cushion,” said Benjamin Yeo, the Singapore-based head of Asian investment strategy at Barclays Plc’s wealth management unit, which has about $250 billion under management. “The risk-on mode will prevail for the remainder of 2013.”
