Stock closed higher on comments by the Fed Chairwoman Janet Yellen. She said in a speech on Monday that further interest rate hikes were appropriate as the U.S. labour market continued to strengthen and inflation was picking up toward 2% target.

A rise in oil prices also supported the stock markets. Oil prices increased on a weaker U.S. dollar and on a lower output in Nigeria.

Market participants also eyed the economic data from the Eurozone. Eurostat released its revised gross domestic product (GDP) data for the Eurozone on Tuesday. Eurozone's revised GDP rose 0.6% in first quarter, up from the preliminary reading of 0.5%, after a 0.4% gain in the fourth quarter.

On a yearly basis, Eurozone's revised gross domestic product (GDP) increased 1.7% in first quarter, up from the preliminary reading of 1.5%, after a 1.7% rise in the fourth quarter.

Household spending gained 0.6% in the first quarter, while gross fixed capital formation climbed 0.8%.

Exports climbed by 0.4% in the first quarter, while imports rose by 0.7%.

Destatis released its industrial production data for Germany on Tuesday. German industrial production rose 0.8% in April, exceeding expectations for a 0.7% gain, after a 1.1% decline in March. March's figure was revised up from a 1.3% decrease.

German industrial production excluding energy and construction climbed by 1.1% in April.

Indexes on the close:

Name Price Change Change %

FTSE 100 6,284.53 +11.13 +0.18 %

DAX 10,287.68 +166.60 +1.65 %

CAC 40 4,475.86 +52.48 +1.19 %

Polish equity market closed higher on Tuesday. The broad market benchmark, the WIG Index, surged by 1.72%. Almost all sectors rose, with utilities (+3.50%) posting the biggest advance.

The large-cap stocks grew by 2.05%, as measured by the WIG30 Index. Within the index components, chemical producer GRUPA AZOTY (WSE: ATT) and genco ENEA (WSE: ENA) recorded the biggest gains, up 7.82% and 7.29% respectively. Other major outperformers were genco ENERGA (WSE: ENG), bank BZ WBK (WSE: BZW) and property developer GTC (WSE: GTC), adding 4.75%, 4.27% and 4.04% respectively. On the other side of the ledger, wholesaler EUROCASH (WSE: EUR) led a handful of decliners with a 2.01% drop, followed by footwear retailer CCC (WSE: CCC), losing 1.96%.

According to data released by the People's Bank of China (PBoC) on Tuesday, China's foreign-exchange reserves declined by $28 billion to $3.19 trillion in May, the lowest level since December 2011, after a rise by $7.1 billion in April.

The decline was likely driven by a stronger U.S. dollar

Major U.S. stock-indexes little changed on Tuesday. Gains in energy and technology stocks helped the S&P 500 and the Dow move higher, but a steep fall in healthcare shares capped gains on the Nasdaq.

Almost all of Dow stocks in positive area (26 of 30). Top looser - The Goldman Sachs Group, Inc. (GS, -0,62%). Top gainer - Chevron Corporation (CVX, +2,01%).

Almost all of S&P sectors also in positive area. Top looser - Conglomerates (-0,5%). Top gainer - Basic Materials (+1,4%).

At the moment:

Dow 17980.00 +65.00 +0.36%

S&P 500 2114.50 +6.25 +0.30%

Nasdaq 100 4521.00 -4.50 -0.10%

Oil 49.94 +0.25 +0.50%

Gas 2.4570 -0.0090 -0.36%

U.S. 10yr 1.71 -0.01

Japan's Cabinet Office released its preliminary leading index data on Tuesday. The leading index increased to 100.5 in April from 99.1 in March, missing expectations for a rise to 100.8. It was the highest level since November 2015.

March's figure was revised down from 99.3.

Japan's coincident index climbed to 112.2 in April from 110.2 in March. March's figure was revised down from 111.1.

Canada's seasonally adjusted Ivey purchasing managers' index slid to 49.4 in May from 53.1 in April. Analysts had expected the index to decline to 51.5.

A reading above 50 indicates a rise in the pace of activity, below 50 indicates a contraction in the pace of activity.

The supplier deliveries index was up to 53.3 in May from 46.8 in April, while employment index declined to 49.3 from 49.9.

The prices index climbed to 63.1 in May from 53.9 in April, while inventories declined to 49.6 from 52.3.

The Australian Industry Group (AiG) released its construction data for Australia on late Monday evening. The Ai Group/HIA Australian Performance of Construction Index dropped to 46.7 in May from 50.8 in April.

A reading above 50 indicates expansion in the sector, a reading below 50 indicates contraction.

The decline was mainly driven by a drop in apartment building.

The American market is directed toward this year's highs, and as long as trading goes above the threshold of a local variation of the last days (2,084 pts.), the attack on the new market highs appears to be the baseline scenario.

In the afternoon phase on Warsaw parquet, trading looks pretty good. Morning approach as yet quietly defend themselves and the supply can at this stage only boast of stopping rises in the southern phase of the session. This in turn creates a kind of base, which may very well induce buyers to use it and to continue the growth at the end.

U.S. stock-index futures gained.

Global Stocks:

Nikkei 16,675.45 +95.42 +0.58%

Hang Seng 21,328.24 +298.02 +1.42%

Shanghai Composite 2,936.21 +2.11 +0.07%

FTSE 6,288.3 +14.90 +0.24%

CAC 4,470.72 +47.34 +1.07%

DAX 10,261.97 +140.89 +1.39%

Crude $50.18 (+0.99%)

Gold $1237.60 (-0.79%)

The U.S. Labor Department released its final non-farm productivity figures on Tuesday. Final productivity in the U.S. non-farm businesses declined at a 0.6% annual rate in the first quarter, up from the preliminary reading a 1.0% drop, after a 1.7% decrease in the fourth quarter.

The upward revision was driven by higher nonfarm business output, which rose 0.9% in the first quarter, up from the preliminary reading of a 0.4% gain.

Hours worked increased by 1.5% in the first quarter, in line with the preliminary reading.

Final unit labour costs climbed 4.5% in the first quarter, up from the preliminary reading of a 4.1% increase, after a 2.7 gain in the fourth quarter.

(company / ticker / price / change ($/%) / volume)

Upgrades:

Downgrades:

Other:

Amazon (AMZN) target raised to $930 from $780 at Oppenheimer
General Electric (GE) initiated with a Market Perform at Cowen; target $29

The first half of the session ended with a rise of the WIG20 index close to 1.6 percent with the turnover a little more than PLN 250 mln. Thus the pronunciation of yesterday's hesitation of the bulls side has been limited. The market has everything to test the resistance line - the most important actions seeking increases, and the environment is growing more than 1 percent. If Europe has not caught short of breath after a good start, and Wall Street does not disappoint with some serious returns, the WIG20 will have a chance to end the day indicating that is looking into the area of 1,850 points.

Stock indices traded higher on comments by the Fed Chairwoman Janet Yellen. She said in a speech on Monday that further interest rate hikes were appropriate as the U.S. labour market continued to strengthen and inflation was picking up toward 2% target.

Market participants also eyed the economic data from the Eurozone. Eurostat released its revised gross domestic product (GDP) data for the Eurozone on Tuesday. Eurozone's revised GDP rose 0.6% in first quarter, up from the preliminary reading of 0.5%, after a 0.4% gain in the fourth quarter.

On a yearly basis, Eurozone's revised gross domestic product (GDP) increased 1.7% in first quarter, up from the preliminary reading of 1.5%, after a 1.7% rise in the fourth quarter.

Household spending gained 0.6% in the first quarter, while gross fixed capital formation climbed 0.8%.

Exports climbed by 0.4% in the first quarter, while imports rose by 0.7%.

Destatis released its industrial production data for Germany on Tuesday. German industrial production rose 0.8% in April, exceeding expectations for a 0.7% gain, after a 1.1% decline in March. March's figure was revised up from a 1.3% decrease.

German industrial production excluding energy and construction climbed by 1.1% in April.

Current figures:

Name Price Change Change %

FTSE 100 6,319.54 +46.14 +0.74 %

DAX 10,302.31 +181.23 +1.79 %

CAC 40 4,484.23 +60.85 +1.38 %

Spanish statistical office INE released its industrial production figures for Spain on Tuesday. Industrial production in Spain was flat in April, after a 1.3% rise in March.

On a yearly basis, industrial production in Spain climbed at adjusted 2.7% in April, after a 2.9% increase in March. March's figure was revised up from a 2.8% gain.

Output of capital goods jumped at seasonally adjusted 11.2% year-on-year in April, output of intermediate goods climbed 0.5%, energy production was down 1.6%, while consumer goods output rose 2.8%.

The Bank of France released its current account data on Tuesday. France's current account deficit was €2.8 billion in April, down from a deficit of €1.9 billion in March.

The trade goods deficit widened to €3.2 billion in April from €2.5 billion in March, while the deficit on services surplus fell to €0.8 billion from €1.1 billion.

According to the French Customs, France's trade deficit widened to €5.2 billion in April from €4.2 billion in March, missing expectations for a decline to a deficit of €4.0 billion. March's figure was revised up from a deficit of €4.37 billion.

The increase in deficit was driven by higher imports. Exports rose 1.8% in April, while imports climbed by 4.1%.

Eurostat released its revised gross domestic product (GDP) data for the Eurozone on Tuesday. Eurozone's revised GDP rose 0.6% in first quarter, up from the preliminary reading of 0.5%, after a 0.4% gain in the fourth quarter.

On a yearly basis, Eurozone's revised gross domestic product (GDP) increased 1.7% in first quarter, up from the preliminary reading of 1.5%, after a 1.7% rise in the fourth quarter.

Household spending gained 0.6% in the first quarter, while gross fixed capital formation climbed 0.8%.

Exports climbed by 0.4% in the first quarter, while imports rose by 0.7%.

Halifax released its house prices data for the U.K. on Tuesday. House prices in the U.K. were up 0.6% in May, exceeding expectations for a 0.3% rise, after a 0.8% decrease in April.

On a yearly basis, house prices jumped 9.2% in the three months to May, beating forecasts of a 8.9% gain, after a 9.2% increase in the three months to April.

"Low interest rates, increasing employment and rising real earnings, continue to support housing demand. The strength of demand, combined with very low supply, is causing house prices to rise at a brisk pace in quarterly and annual terms," Halifax's housing economist Martin Ellis said.

According to the British Retail Consortium (BRC) and KPMG sales monitor, the U.K. retail sales increased by an annual rate of 0.5% on a like-for-like basis in May, after a 0.9% fall in April.

On a total basis, retail sales climbed 1.4% year-on-year in May.

"Clothing made a big comeback this month after suffering declines in April. This appears to be due to consumers waiting for just the right moment before embarking on their pre-summer spending," BRC Chief Executive, Helen Dickinson, said.

"However, with signs that the UK's economy is slowing it's unlikely that this is the beginning of a complete reversal of fortunes. The uncertain outlook means that customers will remain cautious with their spending, therefore we expect sales figures to remain volatile for the time being," she added.

Destatis released its industrial production data for Germany on Tuesday. German industrial production rose 0.8% in April, exceeding expectations for a 0.7% gain, after a 1.1% decline in March. March's figure was revised up from a 1.3% decrease.

The output of capital goods increased 2.2% in April, energy output rose 1.1%, and the production in the construction sector was down 1.7%, while the production of intermediate goods was flat.

The output of consumer goods rose 0.4% in April.

German industrial production excluding energy and construction climbed by 1.1% in April.

St. Louis Fed President James Bullard said in an interview with The Wall Street Journal on Monday that the Fed would unlikely raise its interest rates this month due to the weak May labour data, adding that an interest rate hike in July was still possible.

St. Louis Fed president noted that the experience of the European Central Bank and the Bank of Japan with negative interest rates was not great.

He also said that the referendum on Britain's membership in the European Union would not have a great impact on the U.S. economy.

Bullard is a voting member of the Federal Open Market Committee (FOMC) this year.

The Fed Chairwoman Janet Yellen said in a speech on Monday that further interest rate hikes were appropriate as the U.S. labour market continued to strengthen and inflation was picking up toward 2% target.

"I expect the U.S. economy will continue to improve and why I expect that further gradual increases in the federal funds rate will probably be appropriate to best promote the FOMC's goals of maximum employment and price stability," she said.

Yellen pointed out that there were uncertainties to the outlook for the economic growth and to the path of the federal funds rate. She noted that Britain's exit from the European Union (EU) could have a negative impact on the U.S. economy.

The Reserve Bank of Australia (RBA) kept its interest rate unchanged at 1.75% on Tuesday as widely expected by analysts.

The RBA Governor Glenn Stevens said that the board's decision was reasonable for "sustainable growth in the economy and inflation returning to target over time".

The RBA governor said that the Australian economy continued to grow, despite a drop in business investment.

Stevens also said that domestic demand and exports rose at or above trend.

According to Stevens, labour market indicators were mixed of late, but are expected to increase in the near term.

The RBA governor also said that consumer price inflation remained "quite low", adding that inflation in Australia was likely to remain low "for some time".

The RBA cut its interest rate to 1.75% from 2.00% in May. This decision was not expected by analysts.

WIG20 index opened at 1799.46 points (+0.12%)*

WIG 45709.98 0.28%

WIG30 2007.69 0.34%

mWIG40 3495.00 0.32%

*/ - change to previous close

European markets begin sessions of the expected increases and the Warsaw Stock Exchange fits in the environment. After the first exchanges, the index of the largest companies grow by 0.5 percent. The turnover does not impress by volume, but the market is trying to continue Friday's rebound. At the moment the current market replicates the behavior of the yesterday's session, which brought an attempt to rise in the first minutes of trading, and consolidation for the next several hours. Unfortunately, with low activity, market signals that bigger capital keeps the distance to the ongoing fourth day of reflection, and that means a low credibility of the wave moving north.

Monday's session on Wall Street brought solidarity increases in the major indexes. The S&P500 gained 0.5 percent and ended the day at the highest level in the current year. During the session, the index reached 2,113 points and was about 1 percent from the record of all time, which is in the vicinity of 2,134 points. The good reaction was to the speech of Janet Yellen, who calmed the markets opinion that one ambiguous pronunciation of a report from the labor market should be complemented with other data that indicate the correct condition of the US economy and ever present space for the normalization of monetary policy. However it does not change expectations of the upcoming FOMC meeting. The market valuation about June price increase in the US is likely about 4 percent.

The most important event of the day will be behavior of the US markets. Approach of the S&P500 in the region of 2,113 points means that Wall Street already flirting with records of all time. Overcoming this level would be an invitation for many other markets to march to the north and actually change the sentiment on growth. Good posture of core markets can help bulls in Warsaw, which clearly have no idea for nothing more than recover from last week's fears of nationalization of pension funds.

European stocks closed higher on Monday, led by a mining-sector rally as metals continued to gain in the wake of last week's dismal U.S. jobs report.

Analysts said investors appeared to focus on U.S. monetary policy staying accommodative after the weaker-than-expected jobs data.

Asian stocks hit a five-week high on Tuesday after U.S. Federal Reserve Chair Janet Yellen gave a largely upbeat assessment on the U.S. economic outlook, while the dollar declined on diminishing expectations of interest rate increases in coming months.

"Yellen's comments yesterday downplayed the impact of the jobs data last week and gave a cautious sense of optimism on the outlook for the U.S. economy," said Fan Cheuk Wan, head of investment strategy, Asia at HSBC Private Bank.

"Her comments point towards the world remaining stuck in a low-growth and low-yield environment which should be positive for risky assets and keep the dollar soft," she said.

The Fed chief said last month's jobs report was "disappointing" but warned against attaching too much significance to the payrolls data in isolation.

World markets cheered her comments with U.S. stocks closing a shade below a recent record.

(index / closing price / change items /% change)

Nikkei 225 16,580.03 -62.20 -0.37 %

Hang Seng 21,030.22 +82.98 +0.40 %

S&P/ASX 200 5,360.42 +41.53 +0.78 %

Shanghai Composite 2,934.29 -4.40 -0.15 %

FTSE 100 6,273.4 +63.77 +1.03 %

CAC 40 4,423.38 +1.60 +0.04 %

Xetra DAX 10,121.08 +17.82 +0.18 %

S&P 500 2,109.41 +10.28 +0.49 %

NASDAQ Composite 4,968.71 +26.20 +0.53 %

Dow Jones 17,920.33 +113.27 +0.64 %