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Global Markets - Euro jumps after ECB minutes; stocks gain with energy

Reuters  |  NEW YORK 

By Caroline Valetkevitch

NEW YORK (Reuters) - The jumped against the dollar on Thursday as the European Central signalled it could begin to wind down its 2.5-trillion stimulus program this year, while prices hit their highest since 2014 on tightening crude stocks, lifting energy

yields fell after disputed a report that its government officials had recommended the country slow or halt its purchases of the U.S. bonds. report had lifted yields on the 10-year government to a 10-month high on Wednesday.

The European Central should revisit its communication stance in early 2018, accounts of its December meeting showed, suggesting that policymakers could soon start preparing for the end of the bank's massive stimulus.

"The expectation that the ECB is moving toward removal of stimulus is helping lift interest rate yields further. This has been long expected, but there was more formality in the minutes around how the will manage the forward guidance process as they exit unconventional policy," said Karl Schamotta, director of product and market strategy at Payments in

The dollar index fell 0.46 percent, with the up 0.74 percent to $1.2033.

The Canadian dollar steadied against the greenback after hitting a nearly two-week low as investors weighed chances of a of Canada interest rate hike next week and worried about the possibility of a U.S. withdrawal from the North American Free Trade Agreement.

U.S. stocks were higher in early trading after the suffered its first down day of the year on Wednesday. The index was up 2 percent.

The Dow Jones Industrial Average rose 106.63 points, or 0.42 percent, to 25,475.76, the gained 9.1 points, or 0.33 percent, to 2,757.33 and the added 26.87 points, or 0.38 percent, to 7,180.44.

The pan-European index lost 0.23 percent and MSCI's gauge of stocks across the globe gained 0.19 percent.

In the U.S. market, benchmark 10-year notes last fell 3/32 in price to yield 2.5605 percent, from 2.549 percent late on Wednesday.

U.S. crude rose 1.48 percent to $64.51 per barrel and Brent was last at $69.75, up 0.79 percent on the day.

Bitcoin was 4.8-percent lower at $14,168.95 on the Luxembourg-based exchange after said it plans to ban cryptocurrency trading.

(Additional reporting by in London and Saqib Iqbal Ahmed in New York; Editing by and Nick Zieminski)

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Thu, January 11 2018. 22:43 IST