* U.S. durable goods and consumer confidence data strong
* European bond yields fall further
* Euro erases gains against the dollar
(Updates prices to close of European markets)
By Sam Forgione
NEW YORK, Aug 26 Worldwide stock indexes rose on
Tuesday and European bond yields fell on expectations of more
stimulus from the European Central Bank, while strong U.S. data
on durable goods and consumer confidence underpinned U.S shares.
The benchmark S&P 500 topped the 2,000 mark, after first
breaching that milestone on Monday, and hit a record high. The
Dow also hit an intraday record.
Speculation grew that the European Central Bank is preparing
a program of large-scale asset purchases to weaken the euro and
try to jump-start growth in the struggling euro zone. Those
expectations have bolstered European bond and stock markets
since Friday, when ECB President Mario Draghi hinted at a policy
shift in a speech in Jackson Hole, Wyoming.
"Draghi's readiness to do more is providing the necessary
boost for equity indexes," said Ashraf Laidi, chief global
strategist at City Index. "Buying on the dips does remain the
path of least resistance in the absence of any destabilizing
MSCI's all-country world index was up 1.02
points, or 0.24 percent, to 431.7.
In Europe, the broad FTSEurofirst 300 index closed
up 0.75 percent, at 1,376.83 points. The 10-year German bund
yield was at 0.939 percent, down from 0.955
percent late Monday.
On Wall Street, investors took heart from the data on U.S.
durable goods orders and consumer confidence. The Conference
Board, an industry group, reported that U.S. consumer confidence
rose in August to its highest level since October 2007, topping
The Commerce Department reported that U.S. durable goods
orders jumped 22.6 percent in July, the biggest gain on record,
though the number was skewed by strong international demand for
aircraft. Excluding transportation, orders fell 0.8 percent.
The Dow Jones industrial average was last up 46.88
points, or 0.27 percent, to 17,123.75, the S&P 500 was up
3.45 points, or 0.17 percent, to 2,001.37 and the Nasdaq
Composite was up 10.22 points, or 0.22 percent, to
The benchmark 10-year U.S. Treasury note was
roughly unchanged in price to yield 2.39 percent.
"It's tough for Treasuries to sell off here given what's
going on in Europe," said Gennadiy Goldberg, interest rate
strategist at TD Securities in New York.
The euro erased gains against the dollar and was last
down 0.02 percent, at $1.3189.
Brent crude was last down $0.06, or 0.06 percent, at
$102.59 a barrel. U.S. crude was last up $0.31, or 0.33
percent, at $93.66 per barrel.
(Additional reporting by Nigel Stephenson in London and Karen
Brettell in New York; Editing by Dan Grebler and Leslie Adler)