In This Article:
* Graphic: World FX rates in 2019 http://tmsnrt.rs/2egbfVh
* U.S. GDP, China industrial profits data help stocks
* MSCI ACWI up 0.06 percent
* Italian bonds rally after S&P affirms rating
* Spain's IBEX falls over half a percent after elections
* Dollar dips
By Ritvik Carvalho
LONDON, April 29 (Reuters) - Global shares rose on Monday, aided by data showing profits at Chinese industrial firms grew for the first time in four months and a strong reading of U.S. first quarter growth data last week.
The MSCI All-Country World Index of shares, which tracks stocks in 47 countries, was up 0.06 percent after the start of European trading.
Most major European stock markets traded firmer, with the pan-European STOXX 600 index up 0.1 percent.
Spain's IBEX 35 index underperformed peers, however, down over half a percent after Prime Minister Pedro Sanchez overcame a challenge from right-wing nationalists in elections on Sunday. The elections had little immediate impact on the country's bond market.
Shares in Italian banks got a boost and Italian government bonds rallied after S&P Global affirmed Italy's sovereign credit rating.
Still nagged by uncertainty over the outlook for the global economy, investors were looking to a meeting of the U.S. Federal Reserve this week and Chinese factory data for further clues on policy direction in the world's biggest economies.
"For stock traders, it seems that the important catalysts are pointing higher: the U.S. sees strong domestic growth, low inflation keeps the Fed at bay and could potentially trigger a rate cut so it seems that equities have nowhere to go but higher - at least in the short term," said Konstantinos Anthis, head of research at ADSS.
Chinese blue-chips rose over 1 percent after losing 5.6 percent last week, leading Shanghai shares .SSEC to an intraday high in afternoon trade.
Australian shares were down 0.4 percent after hitting an 11-year closing high on Friday, while Seoul's KOSPI was up 1.4 percent.
Japan's financial markets are closed for a long national holiday this week, but Nikkei 225 futures index in Singapore was 0.9 percent higher.
Monday's gains follow data showing U.S. gross domestic product grew at a 3.2 percent annualised rate in the first quarter.
Nomura FX strategist Jordan Rochester noted last week's U.S. GDP was driven by a surge in inventories, government spending, and a big contribution from net trade. "None of those are likely to be sustained, hence why market reaction was limited," he said in a note to clients.
"But overall, the past week has been dominated by higher U.S. equity prices and consequently a U.S. dollar outperformance story. In our view, this week should see a test of that new trend," he said, referencing upcoming economic data this week.