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NEW YORK – European sovereign debt crisis ornera yet global markets this week, but Wall Street investors will not be afraid to bet on stocks.

Wall Street has demonstrated its ability to grab the gains, and quickly find loss last week despite the European debt woes, suggesting that investors are in a sustained rally.

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"When things are apart on bad news, you know that the market is not vulnerable." The general feeling is quite solid, said Randy Frederick, Director of trade and derivatives Schwab Center for financial research in Austin, Texas.

Index options outstanding, highly focused marketing-to-call report's benchmark S & P 500 fell shortened Thanksgiving week holiday at 1.29, 1.32 signs distributed to increase for the coming week.

The report, which is always greater than 1, is the main instrument of coverage for institutional investors. The ratio increases with a gathering of market as also increases the possibility of withdrawal.

"Capacity (of disintegrates not) help investors remain optimistic about the prospects for stocks short-term." We can not this see continue until the end of January of next year, but the month of December is certainly encouraging.

The CBOE Volatility Index or VIX, gauge for fear of what is called Wall Street's fell Friday despite a decrease in inventories earlier in the day as traders given reasons less than purchase protection.

The index, usually moving inverse S & P 500, reference relationship strayed and closed at its lowest since April.

Exchanged S & P 500 VIX Short Term Futures iPath Exchange note encoches new year minimum of $41.11 Friday. ETN, offering volatility directional exhibition draws the future of two months before the VIX.

"It is definitely a trend in the VXX to try to get in the ETN, said Dan Deming, a trader Stutland Equities VIX options."

Fears that the European debt crisis could spiral out of control pushed stocks off the coast of peaks two years hit this month. Last week, the S & P 500 was down 3% from November 5.

But the index recovered levels beginning November last week that the fears were countered by an avalanche of healthy economic data and an optimistic perspective on consumer holiday shopping.

"Europe is its own game now," Jeff Roach, Chief Economist at the horizon Investments in Charlotte, North Carolina, said, adding that investors are beginning to brush on macro longer-term issues.

After shrug off the coast of the warm number of jobs for November Friday, closed stock their best week in a month with the Dow Jones industrial average up to 2.6 per cent, the standard & Poor 500 to 3 percent and the Nasdaq composite index increased by 2.2%.

For the year so far, the S & P 500 is 9.8%, while the Dow Jones index is 9.2% and the Nasdaq was 14.2%.

Economic indicators this week will be relatively light, with releasing its semi-annual economic forecasts for the sectors of manufacturing and services u.s. Tuesday supply management Institute. Data weekly mortgage on Wednesday and Thursday jobless claims will always get scrutiny.

Friday, Wall Street will monitor international trade deficit in October, which is expected to dip 43.8 billion $ 44 billion in September, according to economists polled by Reuters.

Also due to this day at 8: 30 pm EST, November prices seen a 0.8% gain in October 0.9%, import and export of November price seen 0.6 percent in October from 0.8% gain. At about 9: 55 pm investors will get a preliminary reading on the feeling of consumers of December the Thomson Reuters/University of Michigan surveys of consumers. Forecast calls for sentiment index amounted to 72.5 in final reading 71.6 November December.

As the year concludes, portfolio managers will continue to pursue outperforming stocks and sell some laggards to maintain their balance sheets.

The average of three days of stocks hitting new heights of 52 weeks the stock exchange New York accelerated at the end of November and is now nearly 250, while down in December and remain light of stocks making new 52-week decreases.

Portfolio managers "all seek to scramble to catch up." They risk performance, they risk differential and ultimately, they have employment risk, said Jeffrey Saut, investment Chief Strategist at Raymond James in St. Petersburg, Florida.

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The broker raised its price target for the company from ￡20 to ￡25 and lifted its long-term earnings forecasts to around 10pc above consensus. Liberum Capital said the change in forecast was partly down to raised profit expectations for Johnson Matthey's precious metals activities.

Other winners included Imperial Tobacco, which rose 19p to ￡18.93 on a smaller-than-expected jump in Spanish tobacco taxes. Madrid said the tax rise would raise €780m (￡639m) a year – less than many had anticipated – under a package of reforms it hopes will calm investor concerns about its economy.

Away from the leaderboard, speculation continued to grow about the future of Kesa Electricals, owner of high street retailer Comet, following the release of a note from UBS.

Earlier this week, activist investor Knight Vinke raised its stake in the Kesa to 7pc, fuelling suggestions that a break-up of the chain could be imminent. Shares in the company rose 0.4 at 174p as UBS analysts Adam Cochrane and Andrew Hughes speculated that Knight Vinke "may try to instigate a one-off return of capital". This may come through a sale and leaseback of €300m of the company's French property, disposing of either Comet or one of its emerging businesses or increasing financial gearing at the company, they said.

However, the analysts had doubts over whether Knight Vinke's position was likely to be enduring. "The investment has attracted investor speculation and interest but we are unsure as to what long-term shareholder value can be created ahead of what the current management is already undertaking."

Among the laggards, shares in Man Group shed 9.6 to 279.1p as Numis Securities cuts its rating for the hedge fund manager to "reduce" from "hold" in an otherwise neutral review of UK asset managers.

Luxury retailer Burberry also fell out of fashion yesterday. The company found itself among the losers after a short rally – which saw the shares jump by over 10pc in two days – came to an end.

Shares in the company retreated 20p to ￡10.79 despite Seymour Pierce initiating coverage on the company with a "buy" rating. Kate Calvert, retail analyst at the broker, said the brand has been "reinforced as a modern, trend setting, 'must have' luxury brand".

"The business model continues to change as management tackles many of the distribution issues and moves to a retail-led business model. The full benefits of many of these actions are yet to come through profit wise."

The financial services sector was also subdued as insurers weighed on the market. Old Mutual fell 3.1 to 120.1p, Aviva slipped 5.8 to 379.5p while Standard Life closed down 2.2 at 206p.

Bucking the trend was St James's Place, the mid-cap wealth manager. It jumped 14.9 to 268p in a delayed response to a rebound in the wider insurance sector earlier this week.

Barrie Cornes, insurance analyst at Panmure said: "The last few days have seen the insurers bounce as fears over Irish debt eased after confirmation that exposures are relatively small and manageable. At St James's Place the shares missed the rally earlier in the week but bounced having been relatively left behind." Director share dealing, lack of Irish debt exposure and a general recovery in the mid-cap market also helped.

The FTSE 250 closed up 5.37 at 11082.17, helped by a late dash by online grocer Ocado to the top secondliner's leaderboard. The company, which has been criticised since its controversial 180p-a-share flotation in July, saw its shares close up 16.6 – or 11pc – to 170p on suggestions that US investors were buying into the business.

3pm: US unemployment rises

The benchmark FTSE 100 index fell during afternoon trading after an unexpected rise in US unemployment.

The blue-chip index fell by 0.2pc to to 5,756.77 as data revealed that 39,000 jobs were created in the world's largest economy last month - significantly less than economists had predicted.

The news led a retreat in US shares with the Dow Jones sliding 30.99 points to 1,217.8 during early trading.

12pm: Markets await US data

Mining shares topped the leaderboard at midday as attention shifted away from Eurozone debt.

Fresnillo rose 3.45pc to ￡15.58, while Kazakhmys was up 1.48pc to ￡15.09 and Antofagasta advanced 1.42pc to ￡14.33 as metal prices rose across the sector, which was also buoyed by Walter Energy's $3bn (￡1.91bn) takeover of Western Coal.

Gerard Lane, equity analyst at Shore Capital was bullish on the sector's prospects in the lead up to Christmas:

“Given the rise in metal prices of late we suggest that the mining sector’s earnings are likely to continue to be revised higher and given its low valuation we remain positive on the sector.”

Elsewhere, shares in Man Group shed 2.8pc as Numis Securities cuts its rating for the hedge fund manager to "reduce" from "hold" in an otherwise fairly neutral review of British asset managers.

Numis said it has "marked to market its forecasts for all companies under coverage to a consistent date as of 30/11/10 to reflect movements in performance, markets and foreign exchange since we last published on each of the individual companies."

For Man Group, the broker pointed out that its main AHL fund had returned a fall of 5.1pc since its chief executive said it was performing well in a QE2 (quantitative easing) market, meaning it has a negative mark to market as a consequence.

Burberry was also among the largest fallers despite Seymour Pierce initiating coverage on the company with a "Buy" rating.

In her recommendation, Kate Calvert, retail analyst, said: “The brand has been reinforced as a modern, trend setting, ‘must have’ luxury brand. The business model continues to change as management tackles many of the legacy distribution channel issues (historic license and wholesale agreements) and moves to a retail-led business model. The full benefits of many of these actions are yet to come through profit wise.”

Despite this, shares in the company were down 1.82pc to ￡10.79 by midday as the company reversed recent gains – which had seen shares in the company jump more than 10pc in just two days.

9am: Footsie flat in early trading

After the biggest two-day rally for the FTSE 100 since May, investors held their breath as they awaited US employment figures.

Financial shares took the biggest knock. Old Mutual fell 2pc to 121p and Man Group shed 2.5pc to 281p.

In Paris the CAC 40 slipped 0.8 percent to 3,744.24 points while the Frankfurt DAX dropped 0.14 percent to 6,947.31.

Japan's Nikkei 225 stock average hit a fresh six-month high intraday high at one point, before edging up just under 0.1pc to 10,172.89.

Hong Kong's Hang Seng index gained 0.1pc to 23,479.92.

Oil prices hovered near $88 a barrel, with losses tempered by hopes that demand for crude will improve. In currencies, the dollar was down against the yen but up against the euro.

The Dow Jones Industrial Average had its biggest two-day rally since July, closing up nearly 1pc to 11,362.41as US home sales and retail purchases topped estimates.

Friday's Market report:

US roadshow delivers new Ocado investors

Thursday's market report:

FTSE today: market report - as it happened Dec 2, 2010

GKN in fast lane as FTSE driven up 2.2pc

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Traders cited a short squeeze is GKN which helped to lift the engineer, but there were also signs that the American heartening because market is continuing its recovery - sales in November were up 17pc on the previous year.

GKN has previously named North America as a "key target market" and the company told analysts in August that it hoped to increase its share of the market from 33pc to 45pc in 2014.

Analysts at Jefferies described the because sales data as a positive for GKN and should – at the very least – provide a "feeling fillip". Sense certainly did seem to be on GKN's side yesterday as the shares climbed 15 to 210 p.

Sage surged up 18 to 289p. Having beaten full-year profit expectations on Wednesday, the accountancy software company benefited from positive broker sentiment. Numis upped its stance on Sage to "add" from "hold", p. encouraging growth in the UK and continental Europe.

Amongst the latter-liners, Marston's gained 6.3 to 106 7q after the pubs and brewing group posted profit before tax of ￡ 52 5 m, up from ￡ 21 4 m last time.

Ralph Findlay, chief executive, said: "We have adapted well to market conditions and trends." "We are benefiting from our focused, differentiated strategy as demonstrated by our robust results in 2010 and a strong start to the new financial year."

Analysts at Killik kept their "buy" rating, saying:

"In managed pubs, the success of the group's food offer and new-build strategy continued to drive growth." Like-for-like sales during the year were 1.7% ahead of last year, with food up 2.5% and wet (i.e. beer) up 1.4%. Recent trading (in the eight weeks to 27 November) has seen an acceleration in growth to + 3.0%. "Encouragingly, it looks as if this has been achieved without the need for additional promotion, with operating margins up by one percentage point on the year, largely as a result of tight cost control, lower utility costs and the disposal of 17 lower margin leasehold sites operational."

3. 15 pm: Rachel rollercoaster continues at Desire Petroleum

Ever-volatile Desire Petroleum was in demand as the explore said it had made an oil discovery in the Falkland Islands.

Desire said that preliminary tests at its closely watched Rachel North well indicated it is an oil find sending soaring up to 132 75p 26.75 - gold 25pc - Desire.

Analysts at Evolution Securities said:

"Desire has this morning announced that the Rachel North well has intersected 57 m of net oil pay which is excellent news." Wireline logging is ongoing but initial indications are that the thickest section has good porosity which bodes well for any future flow test and therefore commerciality of the field. "We upgrade to Add and a target price of 180p."

Desire's surge came as the wider market raced ahead. The FTSE 100 gained around 98 points to 5740.67 as the European Central Bank delayed the withdrawl of its stimulus measures.

Jean-Claude Trichet, European Central Bank president, said the central bank will delay its withdrawal of emergency liquidity measures to combat "acute" market tensions. Trichet said the ECB will keep offering banks unlimited loans through the first quarter. The bank will also continue to buy government bonds.

Driving up the leaderboard GKN, which was manufacturing car and change shares. Traders were p. US as sales, which rose 17pc in November from a year earlier.

11. 15 am: TUI Travel leads charge

TUI Travel was enjoying a day in the sun, jumping 14.4 to 228 8 p to top the leaderboard large-cap.

Investors piled into the travel company after its full-year results came in at the top end of market forecasts.

Analysts at Numis kept their "add" rating, saying:

"The statement reads well and TUI reports that it has seen a" sustained improvement in demand since July. "" However, the macro environment remains uncertain. We would highlight two key issues. Position at Corsair agreement has been reached with employees for a turnaround plan. and, secondly, for Summer TUI expects to have minimum cost inflation whilst Thomas Cook said yesterday that it expected 2% cost inflation. "This puts in TUI a strong competitive position."

TUI's rise helped the FTSE 100 gain around 35 points to 5677.44. Speculation that the European Central Bank may announce further measures to stem the region's sovereign debt crisis also lifted feeling.

Analysts at Royal Bank of Scotland said:

"Thursday's ECB meeting could send the first signal that the central bank is on course to step up its purchase program: we continue to look for EEUR100bn of purchases by the beginning of next year, including Spanish securities."

They added:

"With financial contagion gathering pace across countries and sectors, we reiterate our view that there is an urgent need for the ECB to intervene in the market, so as to send a powerful message to global investors that the central bank stands ready to provide an unlimited line of defence for the euro area."

Goal GlaxoSmithKline missed out on the rally. Britain's biggest drug maker shed 9.5 to ￡ 12.21.5 after advisors to the US Food and Drug Administration recommended against wider use of Glaxo's prostate drug Avodar.

9 am: FTSE climbs after Asian stocks rise sharply

Frankfurt's DAX 30 0 42pc to reach 6,895.77 and gained in Paris the CAC 40 pink 0 71pc 3,695.57 to.

Miner Rio Tinto was one of the biggest early risers, up 5pc 2 to 4, 312p after a jump in metal prices.

Rolls Royce, which has endured a month-long scrutiny after one of its Qantas A380 superjumbo engines suffered a blow-out over Indonesia, fell 1. 610p after it emerged Qantas would file a compensation claim to 29pc against them.

Asian stock markets rose sharply on Thursday after improved economic indicators powered big gains on Wall Street that followed - on in Asia.

The overall share rally continued overnight as Japan's Nikkei 225 stock average surged 1. 8pc 10,168.52, hitting its highest level in intraday to more than five months at one point.

Hong Kong's Hang Seng index was up 0. 9pc 23,458.74 and the Shanghai Composite index advanced to 1. 6pc to 2,868.49.

On Wednesday, the Dow Jones Industrial Average rose more than 2pc to 11,255.78 in its biggest gain since September 1 after positive employment figures and growing speculation that the European Central Bank could step up its purchases of government debt boosted confidence.

Wednesday's market report:

FTSE today: market report - as it happened Dec 1, 2010

Betfair sinks below float price as FTSE 100 conscientisation

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