* World stocks bounce higher on U.S. data
* Greek debt, euro under pressure
* Wall Street set for mild gains
By Jeremy Gaunt, European Investment Correspondent
LONDON, April 26 (Reuters) - World stocks bounced sharply
higher on Monday, boosted by a raft of U.S. data showing
economic recovery gathering strength, but crisis-hit Greece's
debt came under renewed pressure.
The euro fell as questions remained about Friday's decision
by the Greek government to turn to its European Union partners
and the International Monetary Fund for help.
Wall Street looked set to open with mild gains.
Greece tried to reassure investors on Sunday that aid would
arrive in time to avert the euro zone's first sovereign debt
default, despite signs that a 45 billion-euro ($60.49 billion)
EU-IMF package would have to be bigger.
But the premium investors demand to buy Greek government
bonds rather than euro zone benchmark Bunds hit a new 12-year
high.
Equity investors, however, were buoyed by solid improvement
in U.S. economic data on Friday.
World stocks as measured by MSCI <.MIWD00000PUS> were up 0.6
percent. The pan-European FTSEurofirst 300 <> gained 1
percent and Japan's Nikkei <> closed 2.3 percent higher.
New U.S. home sales rose at their fastest pace in 47 years
in March and new orders for durable goods grew strongly, helping
U.S. stocks to a 19-month high.
"U.S. economic data, and other global data has been driving
the market higher," said Bernard McAlinden, investment
strategist at NCB Stockbrokers.
EURO FALLS
Elsewhere, however, it was Greece making the running.
The euro fell and the spread between Greek and German
10-year government bond yields hit a new 12-year high of 670
basis points.
"The market is looking for any fresh news in regards to
Greece; we will only get a positive reaction if we get some firm
details but that may take some time," said Christian Lawrence,
currency strategist at RBC Capital Markets.
The European Commission said there was no specific deadline
for a deal to be finalised.
The euro fell half a percent on the day against sterling
<EURGBP=D4>, while the single currency also fell 0.1 percent
against the yen at 125.14 yen <EURJPY=R>.
It was down half a percent against the dollar at $1.3321
<EUR=>.
On fixed income markets, other peripheral euro zone
countries were also coming under pressure. Portuguese/German
yield spreads widened to a lifetime level.
(Additional reporting by Tamawa Desai and Brian Gorman)
(To read Reuters Global Investing Blog click on
http://blogs.reuters.com/globalinvesting; for the MacroScope
economic Blog click on http://blogs.reuters.com/macroscope)
