European stocks climbed the most in almost two weeks as a measure of German consumer confidence rose more than estimated.

A release from Nuremberg-based research company GfK AG showed German consumer confidence will climb to 7.4 in December from a revised 7.1 this month. That beat the median estimate in a Bloomberg survey that called for an increase to 7.1 from an earlier November reading of 7.

In Germany, Chancellor Angela Merkel reached a coalition agreement with the Social Democrats early today. The pact put her on track for a third term leading Europe’s biggest economy until 2017. It also signaled Merkel will continue her European policies including a rejection of joint liability for euro-area nations’ debt. The deal must pass a referendum among the 470,000 members of the SPD.

National benchmark indexes rose in all 18 western European markets. The U.K.’s FTSE 100 increased 0.2 percent and France’s CAC 40 rose 0.4 percent. Germany’s DAX jumped 0.7 percent.

Royal Mail jumped 6 percent to 565 pence, its biggest gain since Oct. 23. The company said demand from online retailers for parcel deliveries helped increase operating profit after some costs by 97 percent to 283 million pounds ($461 million) in the six months ended Sept. 29.

Vivendi gained 0.9 percent to 18.77 euros after saying shareholder Vincent Bollore will replace Chairman Jean-Rene Fourtou once the telecommunications business is split from the media assets. The spinoff may entail distributing shares of its SFR mobile-phone unit to shareholders, the company said. Bollore owns 5 percent of Vivendi.

Assicurazioni Generali SpA rose 1.5 percent to 16.84 euros. Europe’s third-largest insurer plans to cut an extra 150 million euros ($204 million) of costs by 2015 and reduce debt as part of a plan to boost profit and strengthen capital.

Accor dropped 7.5 percent to 31.05 euros, its biggest decline since November 2011. Europe’s largest hotel operator said it will reorganize its business into two separate units. The HotelServices unit will operate about 460,000 hotel rooms under 14 brands. The HotelInvest unit will act as the owner and investor in hotels.

West Texas Intermediate crude fell to the lowest level in almost six months as government data showed U.S. crude stockpiles climbed for a 10th week. The spread between WTI and Brent widened to an eight-month high.

Futures dropped as much as 1.8 percent in New York. Supplies rose 2.95 million barrels to 391.4 million last week, the highest level since June, according to the Energy Information Administration. The report was forecast to show a 750,000-barrel gain, according to a Bloomberg survey. U.S. crude production increased 45,000 barrels a day to 8.02 million, the highest level in almost 25 years.

WTI for January delivery declined $1.23, or 1.3 percent, to $92.45 at 10:36 a.m. on the New York Mercantile Exchange. The contract traded at $92.24 before the release of the report at 10:30 a.m. in Washington. Prices touched $92.04, the lowest level since June 3. The volume of all futures traded was 16 percent below the 100-day average. The will be no floor trading in New York tomorrow because of the Thanksgiving holiday.

Brent for January settlement slipped 10 cents to $110.78 a barrel on the London-based ICE Futures Europe exchange. The North Sea crude, used to price more than half of the world’s crude, traded at a $18.33 premium to WTI. The spread widened to $18.76, the most since March 11.

Gold prices show moderate growth while high housing market and the U.S. labor market strengthened fears that the Fed will soon begin reducing incentives.

The number of permits for the construction of residential homes in the U.S. rose to almost 5.5 -year high in October, while home prices have risen markedly in September.

Today's U.S. Labor Department report showed that the number of people who filed for unemployment benefits , have fallen again last week, recorded six drop in seven weeks , providing more evidence that the job market is steadily improving. According to the report , the seasonally adjusted number of initial claims for unemployment benefits fell for the week ending November 23 to 10 thousand - to the level of 316 thousand Economists predicted that the value of this indicator will increase 331 thousand

According to many economists, the central bank will start buying bonds reduction program no earlier than March 2014 , but some traders fear that the reduction will begin in December .

From the beginning, gold fell by more than 25 percent , as investors prefer higher yielding stocks.

China in October increased gold imports from Hong Kong to seven-month high , as banks and retailers are preparing for increased demand on the eve of Chinese New Year, which is celebrated at the end of January. This year, China is likely to become the world's largest consumer of gold , because the Indian authorities have taken measures to curb imports.

The high demand for precious metals in China says 92 percent rise in net profit of the largest in the world by market value jewelry retailer Chow Tai Fook Jewellery Group Ltd for the six months to September.

The cost of the December gold futures on the COMEX today rose to $ 1254.80 per ounce.

U.S. stock-index futures were little changed, as investors assessed data to gauge the strength of the world’s largest economy.

Global markets:

Nikkei 15,449.63 -65.61 -0.42%

Hang Seng 23,806.35 +125.07 +0.53%

Shanghai Composite 2,201.07 +18.00 +0.82%

FTSE 6,642.77 +6.55 +0.10%

CAC 4,294.7 +17.13 +0.40%

DAX 9,323.8 +33.73 +0.36%

Crude oil $92.46 (-1.30%).

Gold $1250.90 (+0.76%).

USD/JPY Y100.50, Y100.75, Y101.00, Y101.50, Y101.75, Y101.80, Y102.00

EUR/JPY Y137.00, Y138.50

EUR/USD $1.3480, $1.3485, $1.3495, $1.3500, $1.3515, $1.3525, $1.3540/45, $1.3600

GBP/USD $1.6145, $1.6160, $1.6185, $1.6230, $1.6255, $1.6300

USD/CHF Chf0.9200

EUR/CHF Chf1.2300

AUD/USD $0.9100, $0.9150, $0.9225

NZD/USD $0.8250, $0.8300

USD/CAD C$1.0550, C$1.0575, C$1.0600

Data

(time / country / index / period / previous value / forecast / actual value)

2:30 Australia Gross handed buildings, m / m III m -0.3% +0.6% +2.7 %

9:00 Switzerland indicator of consumer activity from UBS October 1.56 1.28

11:00 Germany Consumer Confidence from GfK December 7.0 7.1 7.4

11:30 UK commercial investment volume change , m / m -2.7 % m III +2.3% +1.4%

11:30 UK GDP q / q (Restated ) III m +0.8% +0.8% +0.8%

11:30 UK GDP y / y ( revised data ) III m +1.5 % +1.5 % +1.5 %

13:00 UK Retail sales according to CBI February November  2  12  1

Rate of the euro strengthened against the dollar on the news that the German coalition reached an agreement that will form a grand coalition . This agreement will improve wages and increase spending without raising taxes. The agreement was reached this morning in Berlin after 17 hours of talks between the leader of the Christian Democratic Union Angela Merkel , leaders of the CSU , the Conservatives and the Social Democrats. This allows up to Merkel in 2017 to occupy the office of chancellor in Europe's largest economy .

SPD plans to hold a referendum among the roughly 470,000 members. If the problem does not arise with the SPD that Merkel will be elected to parliament and take the oath of 17 or December 18. Covenant Coalition suggests that Merkel will follow European politics, which was held during the debt crisis in Europe , including the rejection of joint and several liability for the debts of euro countries .

The euro was also supported amid rising short-term rates in the market . Interbank lending rates in the euro rose yesterday , as the levels of excess liquidity in the financial system fell to a minimum of more than 2 years.

In addition, growth data helped the euro , which were published today a group GfK. They showed that the December index of consumer sentiment has improved markedly , while reaching the highest level in the past six years . Note that this increase was due to the expectation that a substantial increase in costs offset weaker export performance and will help Europe's largest economy to fix moderate growth this year.

According to the report , the December consumer confidence index , based on a survey of about 2,000 people , rose to 7.4 points , compared to the upwardly revised figure for the previous month by around 7.1 points ( originally reported 7.0 points). Note that this was the highest since August 2007 . We also add that according to the average forecasts of experts , the index had only grow to 7.1 points.

Pound rose substantially against the U.S. dollar , which was associated with the release of a report by Britain's GDP . Note that the data published by the Office for National Statistics showed that the UK economy grew in the third quarter of this year , which was caused by the most rapid growth of household spending in more than three years, which is only partly offset by a sharp decline in exports . Note that this situation is likely to increase fears that the recovery may not be possible . The report showed that exports from the UK fell by 2.4% in the third quarter , registering with the highest rate of more than two years, coupled with the increasing volume of imports has taken away from the overall growth of about 0.9 percentage points.

The Office for National Statistics reported that the economy grew by 0.8 % in the third quarter , confirming an earlier estimate. The largest contribution to this rise came from consumers who have increased their spending by 0.8 % - the eighth consecutive increase and the fastest pace in more than three years.

Given that incomes continue to fall in real terms , as wages lag behind the rate of inflation after the financial crisis , the Bank of England officials have questioned how long the recovery based on consumer spending can be sustained .

Note that the economic growth in the third quarter continued to recover , which began in January , and placed in one of the UK 's fastest growing developed countries.

EUR / USD: during the European session, the pair rose to $ 1.3613 , but later decreased slightly

GBP / USD: during the European session, the pair rose to $ 1.6294

USD / JPY: during the European session, the pair rose to Y101.86

At 13:30 GMT the United States will announce the change in orders for durable goods in October and initial claims for unemployment insurance . At 14:45 GMT the U.S. will release Chicago PMI index for November, and 14:55 GMT - an indicator of consumer confidence from the University of Michigan in November. At 23:50 GMT , Japan will report on changes in the volume of retail trade in October.

EUR/USD

Offers $1.3750, $1.3690/700, $1.3660/65, $1.3650, $1.3620/30, $1.3613

Bids $1.3573, $1.3525/15, $1.3490/80, $1.3460/50

GBP/USD

Offers $1.6350, $1.6330, $1.6310, $1.6300

Bids $1.6250/45, $1.6235, $1.6198, $1.6168, $1.6138

AUD/USD

Offers $0.9220, $0.9200, $0.9180/90, $0.9145/50, $0.9137

Bids $0.9100, $0.9080, $0.9050, $0.9000

EUR/GBP

Offers stg0.8440, stg0.8430, stg0.8415/20, stg0.8395/400, stg0.83865

Bids stg0.8345/40, stg0.8333, stg0.8300, stg0.8285

EUR/JPY

Offers Y140.00, Y139.50, Y139.00, Y138.80, Y138.53

Bids Y137.80/70, Y137.50, Y137.20, Y137.00, Y136.50

USD/JPY

Offers Y102.50, Y102.25, Y102.00, Y101.92/94 25

Bids Y101.40, Y101.00, Y100.80, Y100.74, Y100.50

European stocks advanced as a report predicted an increase in German consumer confidence and investors awaited data on American durable-goods orders. U.S. index futures were little changed, while Asian shares fell.

The Stoxx Europe 600 Index added 0.3 percent to 323.19 at 9:19 a.m. in London. The benchmark slipped 0.8 percent since reaching a 5 1/2-year high on Nov. 18 through yesterday as investors speculated when the Federal Reserve may reduce its monthly bond purchases.

German consumer confidence will increase to 7.4 next month from 7 in November, according to research company GfK AG. The data topped the the median economist estimate that called for a December gain to 7.1.

In the U.S., the final reading of the Thomson Reuters/University of Michigan November consumer sentiment index rose to 73.1 from a preliminary reading of 72, economists predicted before data due at 9:55 a.m. New York time. Figures yesterday showed the Conference Board’s index of American consumer sentiment fell to a seven-month low this month.

A separate release may show that U.S. durable-goods orders fell 2 percent in October after rising 3.8 percent in the prior month, according to the median estimate of economists.

The U.K. economy expanded at a rate of 0.8 percent in the third quarter from the prior quarter, the median estimate of economists.

Vivendi SA gained 2.3 percent after saying shareholder Vincent Bollore will replace Chairman Jean-Rene Fourtou when it completes a separation of telecommunications business from media assets. The spinoff, approved by Vivendi’s supervisory board yesterday, may entail distributing shares of its SFR mobile-phone unit to shareholders, the Paris-based company said.

Accor dropped 3.3 percent, its biggest decline since August. Europe’s largest hotel operator said it will reorganize its business into two separate units. The HotelServices unit will operate about 460,000 hotel rooms under 14 brands. The HotelInvest unit will act as the owner and investor in hotels.

FTSE 100 6,643.74 +7.52 +0.11%

CAC 40 4,283.26 +5.69 +0.13%

DAX 9,309.05 +18.98 +0.20%

USD/JPY Y100.50, Y100.75, Y101.00, Y101.50, Y101.75, Y101.80, Y102.00

EUR/JPY Y137.00, Y138.50

EUR/USD $1.3480, $1.3485, $1.3495, $1.3500, $1.3515, $1.3525, $1.3540/45, $1.3600

GBP/USD $1.6145, $1.6160, $1.6185, $1.6230, $1.6255, $1.6300

USD/CHF Chf0.9200

EUR/CHF Chf1.2300

AUD/USD $0.9100, $0.9150, $0.9225

NZD/USD $0.8250, $0.8300

USD/CAD C$1.0550, C$1.0575, C$1.0600

Asia’s benchmark stock index swung between gains and losses after U.S. consumer confidence unexpectedly fell and as an advance among information technology shares was offset by declines at raw-material companies.

Nikkei 225 15,449.63 -65.61 -0.42%

Hang Seng 23,806.35 +125.07 +0.53%

S&P/ASX 200 5,332.87 -24.14 -0.45%

Shanghai Composite 2,201.07 +18.00 +0.82%

Industrial Bank of Korea sank 4.2 percent after the South Korea government sold more than 13 million shares in the lender.

BHP Billiton Ltd. lost 1.5 percent in Sydney after copper yesterday fell for the first time in a week.

Rakuten Inc. surged 6.4 percent in Tokyo, leading information technology firms higher, after the e-commerce company said it will boost its dividend.

00:30 Australia Construction Work Done Quarter III -0.3% +0.6% +2.7%

The euro rose to the highest level this month as Asian stocks erased losses and lawmakers in Germany, the 17-nation region’s biggest economy, reached a coalition accord on wages and spending increases. German Chancellor Angela Merkel’s Christian Union party clinched a coalition agreement with the Social Democrats in Berlin today, CDU parliamentary group whip Michael Grosse-Broemer said in a Twitter message. The agreement was later also confirmed by CDU spokesman Axel Baeumer.

The euro strengthened versus most of its 16 major counterparts amid speculation a report this week will show a pick up in inflation, reducing the need for the European Central Bank to expand monetary easing. The consumer price index for the euro region probably rose 0.8 percent this month after a 0.7 percent gain in October, the smallest in almost four years, economists said before a Nov. 29 report. Data published on the same day may also show the bloc’s jobless rate remained at a record 12.2 percent last month.

The Bloomberg U.S. Dollar Index held a loss from yesterday before figures that may show jobless claims increased and durable goods orders fell, while U.S. consumer sentiment improved, signaling a mixed recovery that may keep the Federal Reserve from reducing stimulus this year. The Labor Department will probably say today jobless claims climbed to 330,000 in the week through Nov. 23, and the Commerce Department may announce that bookings for goods meant to last at least three years fell 2 percent in October, according to Bloomberg News surveys.

EUR / USD: during the Asian session, the pair rose to $ 1.3600

GBP / USD: during the Asian session, the pair rose to $ 1.6230

USD / JPY: during the Asian session, the pair rose to Y101.65

There is a string of UK data set for release at 0830GMT, with the release of the revised Q3 GDP data and the September Index of Services. Preliminary data showed the UK's economic recovery strengthened during the quarter, rising to 0.8% on the quarter from the 0.7% growth rate in Q2 and the 0.4% expansion seen in Q1. At 1100GMT, the CBI's Quarterly Distributive Trades numbers for Q3 are expected.

GOLD 1,242.00 0.80 0.06%

OIL (WTI) 93.84 -0.25 -0.27%

Nikkei 225 15,515.24 -103.89 -0.67%

Hang Seng 23,681.28 -3.17 -0.01%

S&P/ASX 200 5,357.01 +4.18 +0.08%

Shanghai Composite 2,183.07 -3.04 -0.14%

FTSE 100 6,636.22 -58.40 -0.87%

CAC 40 4,277.57 -24.40 -0.57%

DAX 9,290.07 -9.88 -0.11%

Dow 16,072.80 +0.26 +0.00%

Nasdaq 4,017.75 +23.18 +0.58%

S&P 500 1,802.75 +0.27 +0.01%

(pare/closed(00:00 GMT +02:00)/change, %)

EUR/USD $1,3571 +0,41%

GBP/USD $1,6213 +0,36%

USD/CHF Chf0,9064 -0,57%

USD/JPY Y101,27 -0,39%

EUR/JPY Y137,44 +0,03%

GBP/JPY Y164,20 -0,01%

AUD/USD $0,9125 -0,37%

NZD/USD $0,8193 -0,18%

USD/CAD C$1,0540 -0,01%

00:30 Australia Construction Work Done Quarter III -0.3% +0.6%

07:00 Switzerland UBS Consumption Indicator October 1.56

09:00 Germany Gfk Consumer Confidence Survey December 7.0 7.1

09:30 United Kingdom Business Investment, q/q Quarter III -2.7% +2.3%

09:30 United Kingdom GDP, q/q (Revised) Quarter III +0.8% +0.8%

09:30 United Kingdom GDP, y/y (Revised) Quarter III +1.5% +1.5%

11:00 United Kingdom CBI retail sales volume balance November 2 12

13:30 U.S. Chicago Federal National Activity Index October 0.14 0.1

13:30 U.S. Durable Goods Orders October +3.7% -1.5%

13:30 U.S. Durable Goods Orders ex Transportation October -0.1% +0.5%

13:30 U.S. Durable goods orders ex defense October +3.2%

13:30 U.S. Initial Jobless Claims November 323 331

14:45 U.S. Chicago Purchasing Managers' Index November 65.9 60.6

14:55 U.S. Reuters/Michigan Consumer Sentiment Index (Finally) November 72.0 73.1

15:00 U.S. Leading Indicators October +0.7% +0.1%

15:30 U.S. Crude Oil Inventories November +0.4

23:50 Japan Retail sales, y/y October +3.1% +2.2%