AT&T's big deal lifts Wall Street
Buyers emerged in US stocks, enticed by the biggest proposed merger of the year, though crises in Japan, the Middle East and North Africa meant market volatility would continue.
The Dow Jones industrial average gained 178.01 points, or 1.50 percent, to 12,036.53. The Standard & Poor's 500 Index climbed 19.18 points, or 1.50 percent, to 1,298.38. The Nasdaq Composite Index added 48.42 points, or 1.83 percent, to 2,692.09
The pan-European FTSEurofirst 300 .FTEU3 index of top shares ended up 1.8 percent at 1,107.89 points, its highest close in a week, with the STOXX Europe 600 telecommunications index .SXKP gaining 3.7 percent.Telecoms featured among the best performers, with STOXX Europe 600 Telecommunications up 3.7 percent. Deutsche Telekom AG's jumped 16 percent after AT&T Inc said it planned to buy its T-Mobile USA business.
Japanese stocks are likely to stabilise after a 10 percent drop last week, buoyed by a rare joint intervention in the currency markets by the Group of Seven (G7) that helped to stem a yen surge and by reports of progress in efforts to contain radiation leaks at a quake-stricken nuclear power plant.
Long-end Japanese government bonds may come under pressure as domestic investors are seen ready to take advantage of any rise in prices to lock in profits ahead of book-closings at the end of March.
The yen backed off from a record high of 76.25 per dollar hit last week, after the G7 last week conducted its first coordinated intervention since 2000. The Japanese currency was trading around 81 to the dollar.
The Nikkei is seen trading between 8,500 and 9,500 during the week, versus Friday's close at 9,200.
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