Dubai Telegraph - China economy hopes boost global equities

Hong Kong closed up 4.2 percent and Shanghai finished with a gain of 3.6 percent, extending the week's strong gains as a slew of bold measures from Beijing suggested leaders were listening to calls to reinvigorate growth.

On Thursday, China's President Xi Jinping admitted that the country was facing new economic "problems" and pledged to ramp up employment and fix its troubled property sector.

"After months of market anticipation, the Chinese authorities are finally acknowledging the significant amount of work needed to relaunch the world's second-largest economy," said market strategist Patrick Munnelly at traders Tickmill Group.

Bloomberg reported Chinese leaders were also considering pumping more than $140 billion into its large state-run banks.

The Paris stock market led the way in Europe, gaining 1.5 percent nearing the half-way mark. Luxury fashion stocks topped the CAC 40, boosted by hopes of rebounding demand from China.

Shares in Gucci-owner Kering jumped eight percent, while LVMH and Hermes won seven percent.

London's FTSE 100 index rose by only 0.2 percent, with gains capped by heavy losses to energy majors BP and Shell.

Crude oil prices slid more than two percent on expectations of higher output in Saudi Arabia and Libya, according to analysts.

The Frankfurt stock market climbed 1.2 percent despite an announcement Thursday by leading economic institutes that the German economy will have shrunk this year.

Global equity gains were supported by a tech surge following a strong earnings outlook from US chip giant Micron and as South Korean behemoth SK hynix said it had started mass production of a more advanced artificial-intelligence chip.

Tech shares have been the main driver of a surge in global markets this year as demand for all things AI heats up.

There were also big gains for Samsung and Japan's Sony, while e-commerce titan Alibaba and JD.com joined the tech surge in Hong Kong.

Shares in French video game maker Ubisoft sank nearly 20 percent after it dropped its profit targets following a delay to its latest "Assassin's Creed" title.

Attention is turning to Friday's release of US personal consumption expenditure figures -- the Federal Reserve's preferred gauge of inflation.

Debate is swirling on the Fed's next move after it last week cut interest rates by 50 basis points.

Analysts said further easing in the PCE could boost the chances of another big move, which is weighing on the dollar and boosting metals priced in the currency.

Gold hit yet another new peak, above $2,680 an ounce, while sister metal silver reached the highest level since late 2012.

The Swiss franc, meanwhile, gained against the dollar and euro despite a Swiss central bank rate cut that was in part aimed at containing its rise.

- Key figures around 1100 GMT -

London - FTSE 100: UP 0.2 percent at 8,283.14 points

Paris - CAC 40: UP 1.5 percent at 7,680.41

Frankfurt - DAX: UP 1.2 percent at 19,135.41

Tokyo - Nikkei 225: UP 2.8 percent at 38,925.63 (close)

Hong Kong - Hang Seng Index: UP 4.2 percent at 19,924.58 (close)

Shanghai - Composite: UP 3.6 percent at 3,000.95 (close)

New York - Dow: DOWN 0.7 percent at 41,914.75 (close)

Euro/dollar: UP at $1.1158 from $1.1130 on Wednesday

Pound/dollar: UP at $1.3382 from $1.3317

Dollar/yen: DOWN at 144.37 yen from 144.81 yen

Euro/pound: DOWN at 83.40 pence from 83.54 pence

Brent North Sea Crude: DOWN 2.4 percent at $71.70 per barrel

West Texas Intermediate: DOWN 2.1 percent at $68.20 per barrel

R.Mehmood--DT