US oil price lift offsets worries over world debt - New York Report

US STOCKS ended higher after a choppy session yesterday, as a rebound in US oil prices helped offset concerns about a slowdown in China and the Greek debt crisis.

The S&P energy index reversed course to trade up 0.9 per cent as US crude oil rose 0.7 per cent after trading as much as 3.7 per cent lower earlier in the day.

Oil markets have been keeping a close eye on negotiations between Iran and six major powers over a nuclear deal. A source close to the talks said there must be an agreement soon if there is to be an accord to end sanctions in exchange for curbs on Tehran’s atomic programme.

Concerns about China’s economy and its sliding stock market have weighed recently on an already ravaged global commodity sector, with prices of copper, coal, natural gas and iron ore falling towards their 2015 lows.

Eurozone leaders held an emergency meeting in Brussels and could hold another summit on Sunday to approve a plan to aid Greece if creditor institutions are satisfied with a Greek loan application and reform plan, two senior EU sources said.

Some investors believe the storm clouds over Greece and China may give the Federal Reserve reason to hold off raising US interest rates, or at least slow the pace of their rise.

The Dow Jones industrial average rose 93.33 points, or 0.53 per cent, to end at 17,776.91. The S&P 500 gained 12.58 points, or 0.61 per cent, to 2,081.34 after briefly falling below its 200-day moving average. The Nasdaq Composite added 5.52 points, or 0.11 per cent, to 4,997.46.

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