(Adds U.S. market open, byline, dateline; previous LONDON)
* Dollar underpinned by rising yields as Fed hike looms
* ECB holds rates, signals on stimulus due at news
* World share index little changed after 5 days of losses
By Herbert Lash
NEW YORK, March 9 Crude oil extended a slump
amid record U.S. stockpiles on Thursday, while bets the Federal
Reserve will raise interest rates next week lifted equities on
Wall Street and steadied a key gauge of global equity markets
after five days of declines.
U.S. equity indexes traded higher, as did major European
indices, but a slide in oil major Royal Dutch Shell and miners
hurt by tumbling copper prices had earlier in the day put a
damper on a key index of global stocks.
Oil prices extended their biggest decline this year as
record U.S. crude inventories kept sentiment weak, pointing to a
global glut despite supply cuts by the Organization of the
Petroleum Exporting Companies.
Brent crude oil, the global benchmark, was down
$1.07 a barrel at $52.04, while U.S. light crude $1.14 to
$49.14 a barrel.
On Wall Street, the S&P financial index rose 0.47
percent ahead of a U.S. labor market report on Friday that is
expected to bolster expectations the Fed will raise rates at a
policy-setting meeting on March 15.
"If not next week for the Fed, then when?" said Michael
Arone, chief investment strategist at State Street Global
Advisors in Boston. "Geopolitical concerns are pretty
complacent, the stock market's high, the labor market is tight
and inflation is near their target."
The Dow Jones Industrial Average rose 18.83 points,
or 0.09 percent, to 20,874.56. The S&P 500 gained 3.78
points, or 0.16 percent, to 2,366.76 and the Nasdaq Composite
added 9.78 points, or 0.17 percent, to 5,847.33.
The FTSEurofirst 300 index of leading regional
shares rose 0.12 percent to 1,470.93.
The dollar fell against a basket of major currencies as the
euro gained after European Central Bank chief Mario Draghi
suggested it was less necessary to prop up the market through
ultra-loose monetary policy.
Draghi said the ECB removed a reference to using all
available measures to induce growth and inflation "because the
sense of urgency is not there."
The euro rose above the $1.06 level during Draghi's
remarks, reversing earlier selling that had brought it to a
six-day low. It was last up 0.37 percent at $1.0578.
The dollar index, which tracks the greenback against
the euro and five other major world currencies, hit a session
low of 101.700 as Draghi spoke. It was last down 0.14 percent at
Gold sank to a five-week low, with analysts expecting
further losses, as investors become increasingly confident that
U.S. interest rates will rise.
U.S. gold futures eased by 0.45 percent to
With global energy stocks on the run, MSCI's 46-country all
world stock index fell for a sixth consecutive
day, the longest slide since the start of 2016 and down from an
all-time high set just over a week ago.
(Reporting by Herbert Lash; Editing by Bernadette Baum)