Stocks diverge as focus turns to US inflation data

London: Global stock markets diverged Monday as investors tried to move on from upheaval fuelled by US recession worries, with focus shifting to the w...

London: Global stock markets diverged Monday as investors tried to move on from upheaval fuelled by US recession worries, with focus shifting to the week's release of American inflation figures and other key data.

After a painful collapse for equities a week ago, fuelled by a big miss on US jobs creation, equities have bounced back and ended Friday on a healthy note.

The gains were helped by a report showing fewer people than expected claimed US unemployment benefits, soothing fears that the world's top economy was contracting.

The recovery extended into the new week, while the dollar was mixed against main rivals.

"The stabilisation of sentiment is continuing, following the sell off a week ago, as concerns about an American recession ease off a little," noted Susannah Streeter, head of money and markets at Hargreaves Lansdown.