Stocks rose for a second consecutive day on Tuesday. The MSCI All-Country World Index added 1.4 percent, as did the S&P 500.
Sentiment in stock markets improved as oil prices rose. Brent crude advanced 5.8 percent on Tuesday while West Texas Intermediate rose 7 percent.
The euro gained as much as 1.7 percent to $1.1534, the biggest advance since October, after the Greek government retreated from a call for a debt writedown.
Safe haven assets fell, with yields on 10-year government bonds rising 12 basis points to 1.78 percent in the US, four basis points to 0.35 percent in Germany and eight basis points to 0.366 percentin Japan.
A post at the WSJ MoneyBeat blog quotes Frank Cappelleri, an executive director at Instinet and the resident market technician, as calling this week's stock rally “a classic positive reversal”.
“A combination like this often often kick-starts additional upside,” Cappelleri wrote, noting that the same pattern appeared in mid-January and led to a quick 3.8 percent jump.
The rally after the reversal may not be sustained though. After the rise in mid-January, the market turned right back down, culminating in the low hit on Monday.
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