The European Commission and German Government have denied a news report that European officials were considering doubling the size of a rescue fund to support the Euro.

China has posted a current account surplus of US$102.3 billion in the September quarter, double that of a year ago and equivalent to 5.1pct of GDP.

European shares rose again on Thursday with strength in the resources sector offsetting softer banking shares. In London trade shares in BHP Billiton rose by 1.9pct with Rio Tinto 2.2pct. But shares in Allied Irish Banks eased 5.9pct with Spanish and Portuguese banks slightly weaker. Shares in Capital Shopping Centres lifted 12.9pct in London trade after takeover interest from US shareholder Simon Property. The FTSEurofirst index rose by 0.5pct, the UK FTSE gained 0.7pct and the German Dax rose 0.8pct.

Canadian shares were trading modestly higher on Thursday, lifted by interest in banking and energy companies. The Toronto S&P/TSX composite index was up 0.3pct in afternoon trade.

US sharemarkets were closed for the Thanksgiving Day holiday. At the close of trade on Wednesday, the Dow Jones was higher by 151pts, the S&P 500 gained 1.5pct and the Nasdaq rose 48pts or 1.9pct.

The US treasury bond market was closed for the Thanksgiving Day holiday. US 2 year bonds stand at 0.54pct and US 10 year bonds stand at 2.91pct.

Major currencies were modestly firmer against the US dollar in holiday-thinned trade. The Euro rose from lows near US$1.3285 to US$1.3385, heading into the US close near US$1.3370. The Aussie dollar held between US97.70c to US98.30c, heading into the US close near US98.10c. And the Japanese yen traded between 83.40 yen per US dollar to JPY83.70, ending North American trade around JPY83.55.

US crude oil prices were modestly higher in afternoon electronic trade on Thursday. The Nymex crude oil contract was up by US33c to US$84.19 a barrel. In London trade Brent crude was up US41c to US$86.25 a barrel.

Base metal prices posted firm gains on the London Metal Exchange on Thursday with sentiment underpinned by the positive US economic data released a day earlier. Investors were also focussed on ongoing strike action at Chile´s third largest copper mine, Collahuasi. Lead soared by 5pct with zinc up 3.9pct while other metals lifted between 1.0pct-1.5pct. But the gold price traded quietly in European trade with the spot gold price near US$1,374 an ounce.

Ahead: In Australia, the Reserve Bank Governor delivers testimony to the House of Reps Economic Committee. In the US no economic data is expected.

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