Deutsche Bank AG and Credit Suisse Group AG gained more than 5 percent as the U.S. government also said it will inject $20 billion into Citigroup, whose shares lost 60 percent last week. Citigroup jumped 51 percent today. Commodity producers followed metals prices higher, while oil companies climbed after trading at their cheapest on record.
Europe's Dow Jones Stoxx 600 Index added 3.3 percent to 188.15 at 12:51 p.m. in London as all 19 industry groups increased except for auto-related shares. Futures on the Standard & Poor's 500 Index added 3 percent.
National benchmark indexes gained in all 18 western European markets. The U.K.'s FTSE 100 rose 4.6 percent as Royal Dutch Shell Plc and BHP Billiton Ltd. climbed. Germany's DAX added 3.3 percent, with Hypo Real Estate Holding AG jumping on a government debt guarantee. France's CAC 40 increased 4.6 percent.
Asian stocks fell on mounting signs the credit crisis is hurting profits at financial companies as recessions in the world’s biggest economies deepen.
Most Asian markets fell today, with Japan shut for a holiday. The MSCI Asia Pacific excluding Japan Index lost 0.6 percent to 205.19 as of 6:54 p.m. in Hong Kong. Financial stocks were the biggest drag. The gauge is down 61 percent this year, leaving it at 8.7 times estimated profit, about half its valuation at the start of 2008.
Australian gold mining stocks climbed after the price of the metal jumped. The S&P/ASX 200 Index rose 0.3 percent to 3,425.1 at the close of trading in Sydney, paring its decline this year to 46 percent and extending Friday's rebound from a five-year low.
China’s stocks fell for a third day, led by airlines, after the nation’s largest international carrier said fuel hedging losses tripled. Developers retreated on speculation interest rates may stay unchanged. The CSI 300 Index, declined 83.09, or 4.3 percent, to 1,837.64 at the close.
India's Sensitive Index fell, with ICICI Bank Ltd. leading financial shares lower after JPMorgan Chase & Co. cut its earnings estimates for lenders. It slid 12.09, or 0.1 percent, to 8,903.12.