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European stocks closed higher and the euro strengthened on Thursday local time, helped by the success of the issuance of bonds and US data that Spain strongly calms anxiety over eurozone debt crisis.

Dealers said sentiment also got a boost from a manufacturing survey data and the latest euro zone services indicating that a sharp slowdown in the last quarter is likely to wane, at least in Germany and France.

A series of indicators in the work and activities of the United States, most notably a sharp decline in new unemployment claims, were greeted after huge losses on Wednesday triggered by worries over the new euro zone debt crisis.

In London, the FTSE-100 index of leading companies closed up 0,63% at 5,400 points,85. In Paris, the CAC-40 index up 0.76% to,73 points and 2.998 in Frankfurt, the DAX-30 index rose 0.98% to, 5730, 62 points.

Other markets had the same advantage, up 0.84% in Madrid and Milan gain 1,37%.

In afternoon trading, the single European currency advanced to 1,3024 dollars from 1,2979 dollars in New York late Wednesday, when it reached a low of 11-month 1,2946 dollars, after Italy had to pay very high interest rates to raise fresh funding in the market.

Spain summons 6.0 billion euro (7.8 billion dollars), well ahead of the planned 2.5-3.5 billion euros even though the interest is paid to the buyer remains high in more positions from 5.0 percent in Treasury bonds 9-year-old and 10-year bonds.

“After considering everything, well digested bond auction by the market, especially given the volatility of the bond market today, and it helps give Europe an inducement stock,” said analyst City Index, Joshua Raymond.

“Investors made it clear that it was less satisfied with the fiscal position of Spain than Italy,” said analyst Jane Foley, of Rabobank, told AFP.

In New York, US stocks rose but lower than the highest earlier after three consecutive sessions weakened, supported by a sharp decline in weekly us jobless claims.

The leading stock (blue chip) the Dow Jones Industrial Average climbed 0,63% and the Nasdaq technology composite index rises 0.18% at about 16.45 GMT.

U.S. initial jobless claims dropped 19,000 in the week ending 10 December from the previous week, the lowest figure since 366.000, week ending May 10, 2008.

“This is the big news of the unexpected,” said Ian Shepherdson, Chief US economist at High Frequency Economics. “If the claims can stay at this level, the growth of wage payments will be strengthened within a month or so.” Other figures showed the US trade deficit falls to lowest level in nearly two years, thanks largely to rising exports, while manufacturers in Philadelphia and New York area is strong.

The Euro pushed higher against the dollar on Tuesday local time, helped by positive economic data from Germany and China, while the yen weakened against the major currencies.

But the market remained quiet and cautious, analysts say, because they are waiting for the outcome of the talks Greece’s debt restructuring, which will be dianjutkan Wednesday after negotiators failed to bridge the last week. the euro traded at 1,2737 dollars compared to 1,2667 dollars on Monday.

The Euro also rose to 97,84 yen from 97,25 yen; the dollar pushed higher became 76,82 yen from 76,78 yen.

The latest economic Data suggests China’s second-largest world it will avoid the much feared hard landing despite European and U.S. demand plummets.

The Data showed China grew at a rate of 8.9 per cent in the last quarter of 2011, although slower than three months earlier but better than the 8.6 percent expected. For the entire 2011, growth slowed to a 9.2 percent from 10.4 per cent the previous year.

In the meantime, the expectations index of research institutions (think tank) show that the ZEW investor confidence in Germany improved sharply in recent weeks, indicating that the leading European it economy remained resilient to the crisis of the euro zone.

Separately index of manufacturing activity in New York also showed a rise in January, which is widely exceed expectations.

“We have a better than expected data coming out of China and Germany, and this morning the manufacturing data from the US Empire are strong enough. So it seems today like carry momentum, “said Mary Nicola from BNP Paribas.

However, he added, “there are lots of vulnerabilities in the market, especially with what’s going on in Europe … There are a lot of risk events coming up that could potentially end the rally. ” The dollar slipped to 0,9492 franc Switzerland from 0,9542 francs, while the United Kingdom pound was trading at 1,5334 dollars, up slightly from 1,5325 dollars previously.