NEW YORK — Banks dodged a big hit from the Greek debt crisis and rallied Thursday to lead the stock market higher. Strong retail sales and more encouraging news about the U.S. job market also helped stocks rise.
BRUSSELS (AP) — European leaders were wrestling Thursday over how much of their sovereignty they are willing to give up in a desperate attempt to save the ambitious project of continental unity that grew from the ashes of World War II.
A move by the world’s central banks to lower the cost of borrowing exhilarated investors Wednesday, sending the Dow Jones industrial average soaring 490 points and easing fears of a global credit crisis similar to the one that followed the 2008 collapse of Lehman Brothers.
In a wild week that gripped the world’s financial markets, the prime minister of Greece threw a monkey wrench into a fragile (and still somewhat amorphous) plan that was supposed to bail out the financially strapped Greek economy, stabilize European banks, and recapitalize the European Financial Stability Facility (EFSF).
WASHINGTON — Discouraging economic data from around the globe have heightened fears that another recession is on the way. Fresh evidence emerged Thursday that U.S. home sales and manufacturing are weakening. Signs also surfaced that European banks are increasingly burdened by the region’s debt crisis and sputtering economy. The rising anxiety ignited a huge sell-off in stocks that led many investors to seek the safety of U.S. Treasurys.