On Wednesday European shares approached a seven-year high, while Asian shares touched a six-week peak, as investors bet the European Central Bank would unveil a stimulus drive to boost the flagging euro zone economy. Hopes that the ECB will announce a sovereign bond-buying program this Thursday - with the potential size seen at around 600 billion euros ($690 billion), also kept euro zone core bond yields near record lows and the euro close to an 11-year threshold.
Bets on euro zone monetary stimulus also spread through the commodities
markets, with gold climbing above $1,300 an ounce for the first time
since August. The prospects of arising deflation and increased market
volatility were cited as factors supporting demand for bullion.
Oil prices slightly rose, with Brent crude holding above $48.50, in the wake of a recent heavy sell-off in oil that led Total's (TOTF.PA) chief executive to say the French energy major plans to cut capital spending by 10 percent this year.
Gently firmer energy prices were not sufficient to stop the Russian rouble falling further today, however, with the currency down 1 percent against the dollar as fighting intensified in eastern Ukraine.
The Japanese yen jumped by around 1 percent against the U.S. dollar JPY= after the Bank of Japan
left policy unchanged. While the decision not to expand its stimulus
package had been widely expected, some had also bet on a surprise move
as inflation targets looked elusive.
The British currency dropped to the day's low against the euro and the dollar after the minutes of British central bankers' last policy meeting showed a rate rise was less likely.
