Stock market fixing:
Nikkei 225 - 194.33 -1.5% 13,159.45
Topix -19.15 -1.5% 1,281.64
DAX 30 -85.56 -1.33% 6,351.15
САС 40 -3.96 -0.09% 4,320.49
FTSE 100 -40.00 -0.75% 5,312.60
Dow +266.48 +2.39% 11,397.56
Nasdaq +55.40 +2.45% 2,319.62
S&P +28.83 +2.34% 1,263.20
10YR+0.2600 +0.065% 4.044%
NYMEX Crude Oil -2.54 -2.04% 122.19
Gold -11.40 -1.22% 926.40

Japan stocks fell to the lowest in a week on concern surging energy costs will erode earnings and spending, and financial companies' credit losses will accelerate.
Toyota Motor Corp. dropped after cutting its sales forecast, while parts affiliate Aisin Seiki Co. plunged the most in six months. Nomura Holdings Inc., the nation's biggest brokerage, sank near a two-week low after Merrill Lynch & Co. announced more writedowns. Mitsui O.S.K. Lines Ltd. led shipping lines lower after cargo rates for commodities fell a 12th straight day.
Japan's jobless rate climbed to 4.1% in June, the highest level in almost two years, the statistics bureau said today. Economists had forecast the gauge to remain at 4%. Household spending fell 1.8%, a fourth month of decline.
Merrill Lynch said Monday it will raise an additional $8.5 billion by selling shares and take a $5.7 billion writedown because of losses on collateralized debt obligations. Meanwhile, the IMF stood by its forecast for $1 trillion in credit market losses and said an end to the U.S. housing recession is ``not visible.''

European stocks rose for the first time in four days after a report showed U.S. consumer confidence unexpectedly advanced this month.
Nestle SA and L'Oreal SA led gains by companies that rely on the U.S. for more than a quarter of their sales. Air France-KLM Group, Europe's biggest airline, and Ryanair Holdings Plc advanced as oil dropped to a 10-week low. Better-than-estimated profit from U.S. Steel Corp. lifted steelmakers. SAP AG rallied after increasing its full-year revenue and margin forecasts.
British Airways Plc added 6%. Europe's third-biggest carrier said it's holding talks with Spain's Iberia Lineas Aereas de Espana SA about a merger. Shares in Iberia rallied 21%.
ArcelorMittal, the world's biggest steelmaker, jumped 4.8%. ThyssenKrupp AG, Germany's largest, climbed 2.9%.
SAP surged 9.8%. The world's largest maker of business-management software said it sees full-year revenue increasing to the top end of the target range between 24% and 27%.
UBS AG dropped 3.6% and Barclays Plc sank 4.1% after Merrill Lynch & Co. said it will book more writedowns and sell $8.5 billion of stock.

Dow soared by more than 200 points on encouraging news from Merrill Lynch and a surprise rise in consumer confidence. Oil prices tumble, adding to rally.

Investment bank Merrill Lynch said late Monday it would take a $5.7 billion writedown and sell off $11.1 billion in mortgage securities in the current quarter. The brokerage also said it plans to raise $8.5 billion through the issuance of new stock.
The market then continued its gains as oil prices fell further. Crude prices fell $3.15 to $121.58 per barrel Tuesday after OPEC president Chakib Khelil said oil was overpriced and will soon sink to $70 a barrel.
Consumer confidence got a surprise boost in July, according to the Conference Board's Consumer Confidence Index released Tuesday. The index rose nearly a point after falling in the previous six months. Analysts anticipated the index to fall again by 0.4 points. Separate report was less optimistic, showing May home prices dropped a record 15.8% from a year ago. It was the 22nd consecutive month of decline recorded by the index.

The dollar advanced to a one-month high versus the euro and the yen as U.S. consumer confidence increased and crude oil prices dropped, reducing concern the economy may fall into a recession. The New York-based Conference Board's U.S. consumer confidence index rose this month to 51.9, higher than forecast, from a revised 51 in June, the lowest since February 1992.
The pound dropped sharply in value against other currencies after a survey by the Confederation of British Industry showed UK high street sales are falling off the charts.In its distributive trades survey, the CBI said the balance of retail sales came of -36% (the lowest reading since the survey began in July 1983) versus June's -9%. Analysts had expected a more modest fall to -15%.
"The survey... significantly bolsters the case for the Bank of England to hold off from raising interest rates despite current elevated inflation levels and risks," said Howard Archer at Global Insight. "Indeed, it very much boosts the case for the next move in interest rates to be down," he added.
The yen declined earlier against the dollar after government reports showed Japan's unemployment rate rose in June to 4.1 percent, the highest level in almost two years, and household spending fell, adding to signs the economy's longest postwar expansion may be ending.

EUR/USD consolidated within the $1.5740/55 range overnight before sliding to $1.5725. Later euro recovered to session high, but strong data from US spurred the sell-off down to $1.5550.
GBP/USD rose to $1.9968, but offers ahead of $1.9980 capped the rise and rate retreated to $1.9931. Later weak CBI retail sales report dragged the pound down to $1.9760.
USD/JPY held within the Y107.30/45 before rising to Y108.30 and set stable around Y108.10/30.

EU data starts with inflation numbers from Italia. But more important EU economic and consumer indexes will be.
At 12:15 GMT focus will be on private ADP report on employment in US. The report is very important as it comes ahead of Friday’s Non-farm payrolls report.
At 12:30 GMT Canada is due to release its PPI report.