(Corrects hedaline to say oil was up, paragraph 17 to say Brent
crude was higher)
* Europe stocks eye longest winning streak in five months
* U.S. shares flat after Tuesday rally
* Strong U.S. jobs data pushes bond yields up, supports
dollar
By Dion Rabouin
NEW YORK, March 2 (Reuters) - A measure of global equity
markets on Wednesday rose to the highest in nearly two months,
pushed upward by positive U.S. economic data that was
complemented by stimulus measures in China and expected easing
in Europe.
European and Asian stocks rose as renewed risk appetite
returned to global markets.
"We've seen some signs of strength in the economy," said
Peter Jankovskis, co-chief investment officer at OakBrook
Investments LLC in Lisle, Illinois.
"We had an employment report this morning that suggests
we're continuing to see some good job growth ... that should
provide some support, particularly in financials, because it
puts us back on track" for the Federal Reserve to raise interest
rates.
U.S. private sector employers added 214,000 jobs in
February, beating economists' expectations and adding to strong
manufacturing and construction spending data released earlier
this week.
MSCI's broadest gauge of the world's stock markets
.MIWD00000PUS rose to its highest since Jan. 7.
U.S. stocks were flat as oil prices were little changed in
choppy trading, and the S&P 500 edged up after reaching an
eight-week high on Monday.
The Dow Jones industrial average .DJI rose 8.21 points, or
0.05 percent, to 16,873.29, the S&P 500 .SPX gained 4 points,
or 0.2 percent, to 1,982.35 and the Nasdaq Composite .IXIC
added 1.86 points, or 0.04 percent, to 4,691.45.
Crude oil futures CLc1 were slightly higher in afternoon
trading in New York, kept in a narrow range by a record high
build-up in U.S. stockpiles but positive investor sentiment.
"The market, after a breakthrough, has to get its footing
and it looks like that's what we're trying to accomplish," said
Warren West, principal at Greentree Brokerage Services in
Philadelphia.
European markets closed up for a fifth straight day, backed
by the prospect of further monetary easing by the European
Central Bank. That five-day growth spurt marked their longest
winning streak in five months.
The FTSEuroFirst index rose 0.7 percent .FTEU3 to a
one-month high of 1341.88.
Investors also continued to take heart from additional
stimulus measures from China, which earlier this week cut its
bank reserve requirements.
Asian stocks rose overnight to a two-month high with Japan's
and China's main indexes both up more than 4 percent. .T .SS
CRUDE LOSES STEAM
U.S. crude CLc1 fell below $35 a barrel after earlier
hitting a two-month high. Government data showed inventories
rose by 10.4 million barrels to 518 million in the week to Feb.
26, almost triple the 3.6 million-barrel increase expected by
analysts.
Brent crude futures LCOc1 were up 0.4 percent at $36.95 a
barrel.
U.S. Treasury yields rose as the job market data reinforced
the view that the Federal Reserve will raise interest rates
later this year.
Benchmark 10-year Treasury notes US10YT=RR were down 2/32
in price to yield 1.8406 percent, having earlier touched 1.87
percent, the highest since Feb. 5.
The dollar was down 0.5 percent against the yen JPY= , at
113.85 yen, after gaining more than 1 percent on Tuesday. FRX/
Gold XAU= rose 0.7 percent to $1,241.10 an ounce as the
dollar turned lower and a retreat in U.S. stocks and oil prices
generated renewed demand for the metal. GOL/
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Shanghai CSI 300 and global effects interactive https://t.co/YqIYLIbInP
Chinese A-shares vs developed and emerging stocks http://link.reuters.com/rac25w
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