Stocks rose around the world, the euro strengthened and commodities snapped two days of losses as Ireland moved closer to a European Union-led financial bailout and reports on jobless claims and manufacturing bolstered optimism in the U.S. economy. The MSCI World Index gained 1.7 percent at 10:10 a.m. in New York and the Standard & Poor’s 500 Index jumped 1.5 percent. The euro climbed 0.6 percent against the dollar. The yield on the Irish 10-year bond slid three basis points and the cost of insuring Ireland’s bonds sank. The drop in Treasuries sent the yield on the 10-year note up five basis points to 2.93 percent. Silver increased 3.8 percent and oil added 1.5 percent. Stocks are recovering from a rout that wiped more than $2 trillion off the value of global equities since the start of last week. Irish Finance Minister Brian Lenihan said the government could accept an aid package after talks with the EU and International Monetary Fund conclude. Fewer workers than forecast filed claims for U.S. jobless benefits, while Philadelphia-area manufacturing topped estimates and General Motors Co. returned to the stock market. “The euro zone is not going to be a bankruptcy, a disaster, a contagion,” said Hank Smith, chief investment officer at Haverford Trust Co., which manages about $6.5 billion in Radnor, Pennsylvania. “In the U.S., any improvement in the jobs picture is going to be very well received by the market. In addition, there was high demand for GM’s IPO, which is a good reflection that capital markets are in better shape.” The S&P 500 advanced for a second day, rebounding from an almost one-month low reached Nov. 16. GM, which went bankrupt last year after almost a century on the New York Stock Exchange, returned to public trading today following an initial share offering that raised more than $20 billion. Its shares advanced as much as 7.6 percent. Jobless Claims Applications for unemployment insurance payments rose by 2,000 to 439,000 in the week ended Nov. 13, Labor Department figures showed. Jobless benefits applications were projected to rise to 441,000, according to a Bloomberg survey. The total number of people collecting unemployment insurance dropped to the lowest level in two years, while those receiving extended payments climbed. Manufacturing in the Philadelphia region expanded in November to the highest level this year. The Fed Bank of Philadelphia’s general economic index rose to 22.5 from 1 a month earlier. Readings greater than zero signal expansion in the area covering eastern Pennsylvania, southern New Jersey and Delaware. The gauge was forecast to increase to 5, according to the median estimate in a Bloomberg News survey. A separate report from the Conference Board showed an index of leading indicators rose for a fourth month. Europe The Stoxx Europe 600 Index rallied 1.1 percent as more than six companies rose for every one that fell. Banco Santander SA, Spain’s biggest lender, rose 1.7 percent. Rio Tinto Group, the world’s third-largest mining company, climbed 2.6 percent. Air France-KLM, Europe’s biggest airline, surged 5.9 percent after lifting its earnings forecast. Royal Boskalis Westminster NV jumped 9.6 percent as the world’s largest dredging company boosted its profit outlook. SABMiller Plc, the maker of Grolsch and Peroni beers, gained 4.7 percent to a record after reporting results that beat analysts’ estimates. The MSCI Asia Pacific Index added 1.6 percent, snapping four days of losses. Cnooc Ltd., China’s biggest offshore-oil producer, jumped 4.9 percent in Hong Kong. David Jones Ltd., Australia’s second-largest department store operator, rose 4 percent after reaffirming its profit guidance. Showa Denko K.K., which makes ceramics and electronic materials, climbed 6.3 percent after UBS AG recommended buying the stock. ‘Tens of Billions’ The extra yield, or spread, investors demand to hold Irish 10-year securities instead of benchmark German bunds fell 15 basis points to 539 basis points. Credit-default swaps on Ireland’s bonds sank 14.5 basis points, according to CMA. Ireland will probably seek a bailout from the EU and IMF worth “tens of billions” of euros to rescue its battered banks, central bank Governor Patrick Honohan told Irish state broadcaster RTE today. The Greek 10-year spread over bunds narrowed 16 basis points to 889 basis points, or 8.89 percentage points. Spanish bonds declined, with the yield on the 10-year bond climbing six basis points to 4.68 percent, as the government sold 3.65 billion euros ($5 billion) of 10- and 30-year bonds. Treasuries The yield on the seven-year Treasury note rose five basis points to 2.19 percent before the U.S. announces the sizes of three auctions scheduled for next week. It may sell $35 billion of two-year notes, $35 billion in five-year debt and $29 billion of seven-year securities over three days starting Nov. 22, a Bloomberg News survey of primary dealers showed. The euro strengthened to $1.3623 and gained 0.9 percent to 113.52 yen. The Japanese currency weakened against all 16 of its most-traded counterparts, while the dollar depreciated against all but one of its major peers. The S&P GSCI index of 24 raw materials rose 1.6 percent, the first increase in three days and biggest advance since Nov. 4. Sugar, nickel and silver climbed at least 3.5 percent to lead the gains. Crude oil’s jump to $82.49 a barrel was the first increase in a week. The MSCI Emerging Markets Index advanced for the first time in seven days, climbing 1.4 percent. Developing-nation currencies strengthened, led by a 1.3 percent gain in Malaysia’s ringgit against the dollar. To contact the reporter on this story: Stephen Kirkland in London at skirkland@bloomberg.net To contact the editor responsible for this story: Paul Sillitoe in London at psillitoe@bloomberg.net

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