* Wall Street gains as rate-increase expectations ease
* Dollar dips, gold turns up
* Oil up as Russia willing to meet other producers
(Updates with U.S. market openings, changes dateline, previous
LONDON)
By Caroline Valetkevitch
NEW YORK, Oct 5 (Reuters) - World stocks jumped on Monday on
expectations that U.S. interest rates aren't likely to rise
soon, while oil prices surged after Russia said it was ready to
meet with other producers to discuss the market.
Oil prices jumped along with copper and gold, lifting U.S.
materials and energy shares.
The dollar index .DXY , which tracks the greenback against a
basket of six major currencies, advanced after sliding to 95.218
on Friday. It was last up 0.1 percent at 95.89, with gains
limited as traders bet the Federal Reserve may delay raising
interest rates until early 2016.
A disappointing jobs report on Friday fueled doubts over
whether the world's largest economy was strong enough to
withstand an interest rate rise before the end of the year, and
suggested that the cheap funds that have lifted financial assets
across the globe would be around for a while.
"The U.S. jobs data was a disappointment and postpones
expectations of a lift-off by the end of this year which is not
dollar positive," said Yujiro Goto, currency strategist at
Nomura.
Just 142,000 more U.S. jobs were created last month, against
a forecast of 203,000, and hourly wage growth fell, the report
showed on Friday. ID:nLNN2LEBGC
Before Friday's data, the Fed had been widely expected to
raise U.S. interest rates by year-end. It decided not to change
its policy path in September because of anxiety over slowing
growth in the world No. 2 economy, China, and the potential
impact of that on global markets.
On Wall Street, stocks extended gains from Friday, with the
S&P materials index .SPLRCM up 1.7 percent and among the top
performers in the S&P 500 sectors.
The Dow Jones industrial average .DJI rose 155.27 points,
or 0.94 percent, to 16,627.64, the S&P 500 .SPX gained 20.08
points, or 1.03 percent, to 1,971.44 and the Nasdaq Composite
.IXIC added 42.51 points, or 0.9 percent, to 4,750.29.
European stocks surged, with the FTSEuroFirst 300 index
.FTEU3 in Europe up nearly 3 percent. MSCI's all-country world
index .MIWD00000PUS was up 1.5 percent.
Japan's Nikkei .N225 ended the day up 1.6 percent, while
Chinese markets were closed for a holiday.
Analysts said the Bank of Japan could ease policy as soon as
this week, though action at its Oct. 30 meeting may be more
likely. ID:nL3N125199
In the bond market, U.S. Treasuries prices trimmed losses as
a steeper-than-forecast drop in a private index on U.S. services
sector activity in September revived bets a Fed rate hike will
be unlikely in the near term.
The Institute for Supply Management said its gauge on U.S.
services industries fell to its lowest level since June.
ID:nN9N118014
Benchmark 10-year Treasuries notes US10YT=RR fell 8/32 in
price for a yield of 2.017 percent, up 3 basis points from late
Friday. The 10-year yield touched 1.904 percent on Friday, its
lowest level since late April, according to Reuters data.
Oil prices climbed after the news on Russia, with Brent
LCOc1 rising 2.7 percent to a high of $49.43 a barrel before
easing back to around $49.33, up $1.20. U.S. crude CLc1 was
$1.10 higher at $46.64 a barrel.
Russia, one of the world's top three oil producers, said it
was prepared to meet OPEC and non-OPEC oil producers to discuss
the market if such a meeting is called. ID:nL5N1230ET
ID:nL5N1220M4 Moscow had been unwilling in the past to cut its
oil output to support prices.
Gold edged higher as the dollar weakened after the weak U.S.
jobs report delayed expectations of a rate rise in the near
term. Spot gold XAU= , was up 0.2 percent at $1,139.81 an
ounce.