New claims for unemployment insurance in the US fell by 13,000 to 348,000 in the latest week - the lowest level since March 2008. US housing starts rose by 1.5pct in January to a 699,000 annual rate - up from an upwardly-revised December result and above expectations near 675,000. US producer prices rose by 0.1pct in January with the core rate up 0.3pct. And the Philadelphia Fed survey rose to 10.2 in February from 7.3 in January. The new orders index rose to the highest level since April 2011.

European shares recovered in late trade after Greek government sources said that the country had agreed with international lenders on how to achieve budget cuts worth 325 million euros. Investors were also cheered by solid US economic data. The FTSEurofirst index rose by 0.1pct, but the UK FTSE and the German Dax eased just 0.1pct.

US sharemarkets rose on Thursday in response to encouraging economic and corporate news. Bank shares rose as investors brushed off news that Moody´s may downgrade credit ratings of 17 global and 114 European financial institutions. Shares in General Motors rose by 7.9pct with investors heartened by the latest earnings result. At the close of trade, the Dow Jones was higher by 123 points or 1.0pct with the S&P 500 up by 1.1pct while the Nasdaq was up 44pts or 1.5pct.

US treasury prices fell on Thursday (yields higher) after solid economic data prompted investors to trim safe-haven positions and embrace equities and commodities. US 2yr yields were up 2pts to 0.294pct and US 10yr yields rose by 6pts to 1.984pct.

The Euro and commodity currencies rose against the greenback in US trade following upbeat US economic data. The Euro rose from lows near US$1.2975 to US$1.3155, and was near US$1.3140 in late US trade. The Aussie dollar rose from lows around US106.45c to near US107.75c, and was around US107.50c in late US trade. And the Japanese yen eased from 78.39 yen per US dollar to JPY78.94 and was JPY78.90 in late US trade.

US crude oil prices rose again on Thursday as hopes that EU leaders would agree to a Greek bail-out package drove equities and commodities higher. US Nymex oil rose by US51c or 0.5pct to US$102.31 a barrel while London Brent crude rose by US$1.18 to US$120.11 a barrel.

Base metal prices fell again on Thursday by between 0.8-2.4pct with tin and aluminium faring worst while copper fell only modestly. But the gold price rose slightly on Thursday with Comex April gold up US30c to US$1,728.40 an ounce.

Ahead: In Australia, ANZ releases its trading update. Billabong, Spotless and Santos are amongst those reporting earnings. In the US, consumer prices and the leading index are due for release.