RPT-ADR Report-ADRs rise as risk appetite returns

(Fixes typo in "currency's" in para 6)

* China, US data boost recovery hopes

* Dubai debt crisis fears ease

* BNYM ADR index rises 2.7 pct

By Edward Krudy

NEW YORK, Dec 1 (Reuters) - Overseas shares traded in the United States rose broadly on Tuesday as fears of a debt default in Dubai eased and robust economic data in China and the United States boosted sentiment.

Global stocks rallied after Dubai World said it was in talks with banks to restructure $26 billion of debt, far less than the $59 billion initially thought. Fear of a default from the state-owned company had rattled markets last week.

Strong readings in two Chinese purchasing managers indexes confirmed China's economy had largely recovered from the global downturn. That fueled optimism among investors looking for a China-led recovery and helped send commodity prices higher. [ID:nPEK127087]

Sentiment was also buoyed by a greater-than-expected rise in pending home sales in the United States as well as a report that indicated the U.S. manufacturing sector grew for the fourth consecutive month.

The Bank of New York Mellon index of leading American Depositary Receipts (ADRs) was rose 2.7 percent while the U.S. benchmark S&P 500 index .SPX added 1.3 percent.

A decision by the Bank of Japan to offer banks more short-term funds fell short of what market had been looking for but analysts said the lower yen lending rate could check the currency's rally. [ID:nT374859]

That could help shares of Japanese export-oriented companies such as Toyota Motor Corp (TM.N: 行情) and Canon Inc (CAJ.N: 行情), which have a high exposure to foreign markets. Toyota gained 3.3 percent to $81.12 in New York and Canon added 2.4 percent to $39.15.

The Bank of New York Mellon index of leading Asian ADRs rose 2.8 percent. In Asia, shares ended higher overnight.

In Europe banks gained as Dubai's debt troubles seemed to recede. Banks in the United Kingdom were thought to have among the highest exposure to the regions debt markets. Many of those stocks recouped earlier losses.

Shares in the Royal Bank of Scotland Group Plc (RBS.N: 行情) rose 3.4 percent to $11.50 in New York, while HSBC Holdings Plc (HBC.N: 行情) rose 2 percent to $60.17.

That helped the Bank of New York Mellon index of leading European ADRs rise 2.5 percent. In Europe, the FTSEurofirst 300 index of top shares ended 2.6 percent higher.

Rising commodity prices helped drive shares in the emerging markets of Latin America, which rely heavily on raw materials. Brazilian miner Vale SA (VALE.N: 行情) rose 3.7 percent to $29.72.

Mexican stocks jumped to their highest in 18 months on Tuesday, with the IPC stock index .MXX up around 3.5 percent. Mexico's Cemex SAB (CX.N: 行情), the world's No. 3 cement maker, climbed 2.7 percent to $11.59 in New York as Mexico eyed a recovery in the United States, its largest trading partner.

Peruvian gold and silver miner Buenaventura SA (BVN.N: 行情) rose 5.6 percent to $42.41 as gold set a new record high above $1,200 per ounce, pushed higher by a weak U.S. dollar.

Receipts with the Bank of New York Mellon index of leading Latin American ADRs rose 3.7 percent. In Latin America, major benchmarks were higher.