By Rodrigo Campos
NEW YORK, Apr 23 (Reuters) – Stocks rose on Wall Street on Friday, reversing yesterday’s losses on news of a tax hike in the United States, but the World Stock Index was on track to close its first week in negative of the last five.
* Crude prices rose, but were also poised to close the week in the red, while strong data boosted the euro and the dollar index fell after positive economic reports in the United States turned investors away from safety bets on the green ticket.
* Stocks rose on Wall Street a day after reports of a Joe Biden government initiative to raise capital gains taxes shook indices. The proposed figures have been known since the presidential campaign.
* “Yesterday was a knee-jerk reaction to the proposal. Right now there is nothing definitive from the government,” said Robert Pavlik, Senior Portfolio Manager at Dakota Wealth.
* The pan-European stock index STOXX 600 was down 0.13% and MSCI’s measure of world stocks was up 0.76%.
* Emerging market stocks were up 0.84%. MSCI’s broader index of Asia Pacific equities excluding Japan closed 0.83% higher, while the Nikkei lost 0.57%.
* Data firm IHS Markit said its manufacturing PMI rose to 60.6 in the first half of this month in the United States, the highest figure since the series began in May 2007. In the euro zone, the composite PMI It hit a nine-month high of 53.7, higher than expected. Anything over 50 indicates expansion.
* Crude prices rose more than 0.65% on support from economic data, but concerns about demand in India and Japan persisted, limiting gains.
* “Stronger PMIs in Europe, a weaker dollar and plans by some European countries to ease some of their restrictions are slightly supporting crude prices,” said Giovanni Staunovo, analyst at UBS.
* “Concerns about oil demand in India over the rise in COVID cases are limiting the rise,” he added.
* The euro was up on the strength of the data and improved 0.45% to $ 1.2069.
* The dollar index was down 0.303%; sterling was up 0.09% at $ 1.3849; and the yen was down 0.02%, at 107.96 units per dollar.
* Benchmark 10-year bonds were down 2/32 in price, yielding 1.563%, from 1.556% on Thursday.
* Gold was down 0.4% at $ 1,776.25 an ounce, and silver was down 0.76% at $ 25.97.
* Bitcoin was down 3.53% at $ 49,857.18.
(Additional reporting by Shivani Kumaresan and Shreyashi Sanyal in Bengaluru and Bozorgmehr Sharafedin in London; edited in Spanish by Carlos Serrano)