Portugal Colonial - Global equities advance on reassuring economic data

With central banks in the United States, United Kingdom and eurozone raising interest rates to tamp down inflation, signs of economic strength could persuade policymakers to hike rates further for longer and possibly prompt a more severe downturn later.

A strong run of data sent chills through trading floors in February -- wiping out almost all of January's rally -- as investors realised the US central bank had more work to do to control prices.

But survey data from both China and the United States were welcomed.

"The general mood has also been helped by better-than-expected economic reports, which while raising concerns about further rate hikes, have also helped to create a mood that the economic picture may not be as dire as had been predicted at the start of the year," said market analyst Michael Hewson at CMC Markets.

China’s February Caixin services PMI rose to 55.0 from 52.9, where a score above 50 represents expansion.

Meanwhile, the ISM services PMI in the United States was also in growth territory, dipping to 55.1 from 55.2.

Wall Street was higher in late morning trading, with the Dow adding 0.5 percent.

Falling government bond yields also helped boost equities.

In Europe, London stocks ended with a marginal gain, but Paris rose 0.9 percent and Frankfurt climbed 1.6 thanks to a 10.6 percent jump in Volkswagen shares.

The German automaker reported a net profit of 15.8 billion euros for 2022, up 2.6 percent on the previous year, and expressed optimism it would sell considerably more cars this year as global supply chain problems ease.

Oil prices see-sawed.

"Crude oil prices initially dropped sharply from two-week highs after reports emerged of a rift between Saudi Arabia and the UAE over whether to produce more oil," said CMC Market's Hewson.

"While the reports were quickly denied, prompting oil prices to rebound, the fact they emerged at all suggests that there is disagreement over quotas which could affect future cap decisions," he added.

The OPEC oil cartel, which includes both Saudi Arabia and United Arab Emirates, has restrained production to support prices but the reopening of the Chinese economy could boost demand.

- Key figures around 1630 GMT -

New York - Dow: UP 0.5 percent at 33,176.37 points

London - FTSE 100: UP less than 0.1 percent at 7,947.11 (close)

Frankfurt - DAX: UP 1.6 percent at 15,578.39 (close)

Paris - CAC 40: UP 0.9 percent at 7,348.12 (close)

EURO STOXX 50: UP 1.3 percent at 4,294.80 (close)

Tokyo - Nikkei 225: UP 1.6 percent at 27,927.47 (close)

Hong Kong - Hang Seng Index: UP 0.7 percent at 20,567.54 (close)

Shanghai - Composite: UP 0.5 percent at 3,328.39 (close)

Euro/dollar: UP at $1.0603 from $1.0597 on Thursday

Pound/dollar: UP at $1.1978 from $1.1946

Euro/pound: DOWN at 88.50 pence from 88.71 pence

Dollar/yen: DOWN at 136.21 yen from 136.77 yen

West Texas Intermediate: UP 1.2 percent at $79.07 per barrel

Brent North Sea crude: UP 0.7 percent at $85.37 per barrel

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P.Cavaco--PC