German Investor Confidence at 10-Month High

German investor confidence surged to a 10-month high in February as global growth improved and Europe’s debt crisis showed signs of abating.

The ZEW Center for European Economic Research in Mannheim said its index of investor and analyst expectations, which aims to predict economic developments six months in advance, rose to 5.4 from minus 21.6 in January. That’s the highest since April 2011 and the third straight increase.

“The outcome is a positive surprise,” said Annalisa Piazza, a fixed-income analyst at Newedge Group in London.

Sri Lanka Stocks May Slump More on Rates

Sri Lanka’s benchmark stock index, the world’s worst performer this year, may extend its slump as the central bank raises interest rates to curb inflation, according to HSBC Holdings Plc’s private banking unit.

HSBC Private Bank, which oversees about $499 billion, will wait for stock valuations to fall to “single digit” multiples before it considers buying shares, Arjuna Mahendran, Singapore- based head of Asia investment strategy, said in an interview yesterday.

HSBC Private may purchase bank stocks, he said, declining to be more specific.

Market Watch: Stock market recovers early losses

The stock market started the week on a negative note as investors followed the prime minister’s fate in the Supreme Court proceedings on the contempt case.

The Karachi Stock Exchange’s (KSE) benchmark 100-share index gained 0.15 per cent or 18.40 points to end at the 12,250.00 point level.

“After the extension of the matter till February 22, the index recovered 96 points from its intra-day low of 12,154,” said JS Global Capital analyst Shakir Padela.

The Supreme Court on Monday indicted Prime Minister Yousaf Raza Gilani for contempt of court in the National Reconciliation Ordinance (NRO) implementation case.

Stocks, Euro Rise as Greece Approves Austerity Plan

Stocks advanced, rebounding from the biggest loss this year, and the euro strengthened while German bonds fell after Greek lawmakers approved austerity plans to secure rescue funds. Oil led commodities higher.

The MSCI All-Country World Index (MXWD) added 0.6 percent at 8:15 a.m. in New York.

Futures on the Standard & Poor’s 500 Index climbed 0.7 percent.

The euro strengthened 0.5 percent to $1.3263, while the yen weakened against all 16 most-traded currencies.

The yield on the benchmark 10-year bund jumped six basis points, with the 10-year Italian yield falling 13 basis points. The S&P GSCI gauge of commodities rose 0.9 percent.

U.S. Stock Futures Rise on Greek Austerity

U.S. stock futures rose, after the first weekly loss for the Standard & Poor’s 500 Index in 2012, as Greece approved austerity plans to secure rescue funds.

Bank of America Corp. and Citigroup Inc. (C) climbed more than 2.1 percent as a measure of European lenders gained.

Alcoa Inc. and Freeport-McMoRan Copper & Gold Inc. (FCX) added at least 1.3 percent as the S&P GSCI Index of commodities increased 0.9 percent.

Nvidia Corp. (NVDA) advanced 2.5 percent after the maker of graphics processors was raised at FBR Capital Markets.

Abu Dhabi Shares Fall Most in Two Weeks as Etisalat Net Misses Estimates

Abu Dhabi’s stock index fell the most in almost two weeks after full-year earnings at Emirates Telecommunications Corp., the telephone operator known as Etisalat, missed estimates. Egypt’s gauge rose.

Etisalat, the company with the heaviest weighting on the index, tumbled the most since Jan. 17.

Abu Dhabi Commercial Bank PJSC lost 0.3 percent. The ADX General Index (ADSMI) declined 0.4 percent, the most since Jan. 30, to 2,456.22 at the 2 p.m. close in the U.A.E. capital.

Emerging-market stocks fell the most in more than two months at the end of last week.

Facebook IPO to Drag Down Secondary Market

Initial public offering and the IPOs of other social-media companies will lead to a 24 percent decline in secondary transactions in 2012 as fewer big companies remain private, according to Nyppex LLC.

Deal volume will drop to $7.1 billion this year from $9.3 billion in 2011, the Rye, New York-based broker-dealer and research firm said in a report.

That follows last year’s doubling of the market from $4.6 billion in 2010.

The reversal is “based on expected exits by many of the largest consumer Web and social-media companies, and a decline in large private companies with motivated selling shareholders,” Nyppex said.

Greek Bailout Won’t Rid Europe of ‘Danger’

Billionaire investor George Soros predicted weak growth and lingering political tension that could shatter Europe’s economic union even if Greece agrees to austerity measures.

“Right now the European Union and particularly the heavily indebted countries face a lost decade,” Soros said.

“It might actually be longer than a decade because Japan that had a similar situation with the real estate boom and the banking crisis has had now 25 years of no growth,” Soros said.

“That will create tensions within the European Union, which could destroy the European Union,” he said.

“And that’s a real danger.”

Global Stocks Decline the Most This Year as Commodities, Euro Post Losses

Global stocks fell the most this year, commodities slid and the euro weakened as a plan to help Greece avoid default threatened to unravel and U.S. consumer confidence trailed estimates.

Treasuries and costs to protect European debt rose.

The MSCI All-Country World Index (MXWD) lost 1.3 percent at 4 p.m. in New York.

The Standard & Poor’s 500 Index tumbled 0.7 percent from a seven-month high, paring a drop of as much as 1.1 percent, and the Dow Jones Industrial Average lost 89.23 points.

The S&P GSCI Index dropped 0.9 percent as 21 of its 24 commodities fell.

KSE gains 18 points on hopes of better earnings

The Karachi stock market closed in the green zone on the last trading day of the week Friday as speculations over upcoming corporate earnings announcements in blue chips triggered institutional buying.

The Karachi Stock Exchange (KSE) 100-share index gained 18.36 points or 0.15 percent to close at 12,231.60 points as compared to 12,213.24 points of the previous session.

The KSE 30-share index was up by 10.43 points to close at 11,415.20 points as compared with 11,404.77 points.