* MSCI world equity index up 0.4 pct
* Stocks gain on EU support for Greece but sentiment shaky
* Lack of detailed plan pushes euro lower
By Jessica Mortimer
LONDON, Feb 12 (Reuters) - World stocks rose on Friday as a
pledge by European leaders to support Greece prompted some
relief among investors, but gains were limited by the lack of
detail and the euro continued to fall.
The European Union sent a "clear message of solidarity" with
Greece, tempering fears of a broader crisis in the single
currency bloc, although investors are still nervous other
countries may see similar trouble. []
The next focus for the market on the fiscal saga is meetings
early next week between EU finance ministers. Ahead of this,
analysts said markets are likely to remain jittery.
The MSCI world equity index <.MIWD00000PUS> rose 0.4 percent
while European stocks looked set to extend their winning run to
a fifth day, with the FTSEurofirst 300 index <> gaining as
much as 1 percent to climb above the key 1,000 level.
Gains were led by gains in oil and mining stocks, but
analysts said the rally was shaky.
"We are in a very volatile environment. It's purely a
technical rally and if economic figures disappoint, we are going
to go down again," said Koen De Leus, economist at KBC
Securities.
"Now the markets will look for the next victim and will go
after countries such as Portugal and Spain. And this will happen
in the course of the next months and will keep the markets very
volatile," he added.
EURO FALTERS
There was little optimism elsewhere, with the euro hovering
close to an eight-and-a-half month low against the dollar.
Lingering disappointment over the lack of details of a Greek
rescue plan also pushed up the premium investors demand to hold
10-year Greek and Italian government bonds rather than euro zone
benchmark German Bunds. <GR10YT=RR> <IT10YT=RR> <EU10YT=RR>
The euro <EUR=> fell 0.4 percent against the dollar to
$1.3628 while the single currency hit a 10-year low versus the
higher-yielding Australian dollar <EURAUD=>
The dollar rose 0.3 percent against a basket of currencies
<.DXY> to 80.272.
"The EU's intentions are good, but the market would like
details," said Kasper Kirkegaard, currency analyst at Danske
Bank in Copenhagen.
"Until we get more details on a political solution for
Greece, the euro is going to stay under selling pressure."
Bund futures <FGBLc1> edged up 9 ticks to 123.24.
Data showing German economic growth unexpectedly stalled in
the fourth quarter also raised some concerns about a shaky
recovery in the euro zone. []
Investors awaited euro zone fourth quarter gross domestic
product data at 1000 GMT and U.S. retail sales numbers at 1330
GMT. <ECON>
A stronger dollar pushed down U.S. crude oil prices <CLc1>
0.5 percent to $74.95 while gold <XAU=> was down 0.69 pct at
$1,088.25 an ounce.
Emerging stocks <.MSCIEF> rose 0.4 percent to 926.46.
(Additional reporting by Atul Prakash and Naomi Tajitsu in
London; editing by Patrick Graham)
