A Look At Economic Developments Around The Globe

The Associated Press

A look at economic developments and activity in major stock markets around the world Friday:

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ATHENS, Greece — Unions and employers' associations in Greece rejected private-sector wage cuts, as demanded by the country's international bailout lenders if Athens is to receive a crucial, second rescue package.

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MADRID — Spain's new conservative government approved a plan forcing banks to set aside an estimated $65 billion to cover toxic real estate assets, a bid to heal a sector that is critical to reviving the lame economy.

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LONDON — Stocks spiked sharply higher after forecast-busting U.S. jobs figures reinforced hopes that the recovery in the world's largest economy is gathering pace at a time when other regions, notably Europe, may be heading back into recession.

The FTSE 100 index of leading British shares closed 1.8 percent higher while Germany's DAX rose 1.7 percent. The CAC-40 in France ended 1.5 percent higher.

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TOKYO — In Asia, Japan's Nikkei 225 index fell 0.5 percent but Hong Kong's Hang Seng rose 0.08 percent.

Mainland Chinese shares extended gains fueled by news of fresh support for the farming and small-business sectors, with the benchmark Shanghai Composite Index rising 0.8 percent while the Shenzhen Composite Index added 1.5 percent.

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LISBON, Portugal — Portugal's prime minister says he wants his bailed-out country's banks to be given more leeway to meet their capital requirements because an acute credit crunch is dooming viable companies.

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BRUSSELS — The European Union is bracing for another potential energy crisis in the dead of winter as Russian gas supplies to some of its member states suddenly have dwindled by up to 30 percent.

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BRUSSELS — Retail sales in the 17 countries that use the euro unexpectedly fell during the crucial month of December, official figures showed, raising fears of a looming recession in the single currency bloc.