LONDON, Jun 11, 2009 (AFP) - Europe's main equity markets edged higher on Thursday before the release of key retail sales data in the United States amid hopes of improvement in the world's biggest economy.
In late morning trade, London's FTSE 100 index of leading shares rose 0.40 percent to 4,454.45 points.
In Paris, the CAC 40 gained 0.38 percent to 3,327.82 points nearing the half-way mark, and in Frankfurt the DAX 30 won 0.50 percent to reach 5,076.37.
The DJ Euro Stoxx 50 index of leading eurozone shares advanced 0.54 percent to 2,514.34 points.
On the currency market the euro rose to 1.4038 dollars.
The three major European markets have soared by around 30-40 percent in value since hitting multi-year lows in March, as investor optimism over a global economic recovery has gathered pace.
"Today's US retail sales figures for May will be an important test of the powerful rally in equity markets from the March lows," said analyst Bernard McAlinden at NCB stockbrokers on Thursday.
"Equity markets need to see some improvement in May to reassure that the (US) economy is in fact stabilising."
BetOnMarkets analyst Dave Evans agreed, adding: "Should consumers in the world's largest economy start spending again, this will be a great sign for equity markets around the world."
In commodity markets, meanwhile, world oil prices surged above 72 dollars a barrel on Thursday, hitting an eight-month high in New York on the back of a larger-than-expected drop in US crude inventories.
In Asia, Tokyo share prices briefly topped the 10,000 level on Thursday for the first time in eight months, but closed down on profit-taking.
The benchmark Nikkei-225 index shed 0.1 percent at 9,981.33 points, after touching a high of 10,022.23 in morning trade -- which was the highest level since October 8 -- amid mounting hopes for a global recovery.
Wall Street had lost ground Wednesday as investors mulled the impact of a rising commodity prices and higher bond yields that could crimp an economic rebound.
The Dow Jones Industrial Average dropped 0.27 percent to close at 8,739.02 points after an up-and-down session.
The Nasdaq composite fell 0.38 percent to 1,853.08 points and the Standard & Poor's 500 broad-market index shed 0.35 percent to 939.15.
A jump in bond yields was seen as a danger to economic recovery since it could push up other rates including for mortgages, hampering the fragile housing market.
