GLOBAL MARKETS-Stocks edge up, weak US data gives bonds boost

                                
 * Stocks up ahead of Intel earnings, shake off weak data
                                
 * ECB keeps interest rates on hold
                                
 * Japanese yen gains versus greenback, euro
                                
 By Daniel Bases
                                
 NEW YORK, Jan 14 (Reuters) - Global share prices rose
marginally on Thursday but investors showed little conviction
ahead of U.S. corporate results, while weak U.S. retail sales
data spurred buying of U.S. Treasuries.
                                
 The yen rose after the sales data reinforced perceptions
U.S. interest rates will remain unchanged for the foreseeable
future. The euro was undermined after European Central Bank
President Jean-Claude Trichet reiterated the importance of a
strong dollar.
                                
 The ECB left interest rates unchanged at a record low of 1
percent.
                                
 U.S. retail sales fell 0.3 percent last month, the first
decline in three months, a surprising dip considering the
report captured the holiday shopping season. A disappointing
weekly U.S. jobless claims report enhanced the fragile economic
recovery argument.  [ID:nN14168822]
                                
 "The U.S. continues to recover at a really slow pace," said
Joe Manimbo, a currency trader at Travelex Global Business
Payments, in Washington D.C. "If you add that to last week's
jobs data, that certainly dampens expectations of an early Fed
rate hike. Consequently, that sets the stage for a weaker
dollar."
                                
 Shares of Intel, a bellwether not only for the technology
sector but the overall economy, rose 1.57 percent to $21.29
ahead of its quarterly results. [ID:nN12118201]
                                
 "This is an indication that investors see business
spending, not consumer spending, to fuel further growth to
bring us out of this. This is why we are seeing shares like
Intel, IBM and Cisco leading the gains today," said Burt White,
managing director and chief investment officer at LPL Financial
in Boston.
                                
 JPMorgan <JPM.N> shares rose 0.20 percent to $44.33 ahead
of its results, due on Friday.
                                
 U.S. financial company share prices were mixed after
President Barack Obama formally proposed Wall Street pay a fee
of up to $117 billion to repay taxpayers for the financial
bailout. He lambasted bankers for their "massive profits and
obscene bonuses" at a time when the U.S. unemployment rate is
in double digits. [ID:nN14122824]
                                
 At 1305 p.m. EST (1805 GMT) the Dow Jones industrial
average <.DJI> was up 21.39 points, or 0.20 percent, at
10,702.16. The Standard & Poor's 500 Index <.SPX> gained 1.03
points, or 0.09 percent, to 1,146.71. The Nasdaq Composite
Index <.IXIC> climbed 6.05 points, or 0.26 percent, to
2,313.95.
                                
  In Europe, shares closed higher, boosted by gains in the
pharmaceuticals sector. The pan-European FTSEurofirst 300
<.FTEU3> rose 0.7 percent to a provisional close of 1,063.42
points, gaining for a second straight session.
                                
 MSCI's all-country world stock index <.MIWD00000PUS> was up
0.49 percent.
                                
 DATA IMPACT
                                
 The U.S. dollar had a mixed performance. It fell 0.39
percent to 91.04 yen <JPY=>, while the euro lost 0.14 percent
to $1.449 against the greenback <EUR=>.
                                
 The weak U.S. data helped lift U.S. Treasury prices. The
benchmark 10-year Treasury note <US10YT=RR> rose 8/32 of a
point in price, pushing the yield down to 3.76 percent.
                                
 Euro zone government bonds were slightly firmer at their
close, with 10-year yields <EU10YT=RR> down 1.3 basis points at
3.29 percent. Yields move inversely to price.
                                
 Concerns remain over Greece's ability to dig itself out of
its debt hole and what impact it may have on the euro zone.
                                
 The cost of insuring Greece's sovereign debt against
default rose to a record high of 334,800 euros per 10 million
euros of exposure on Thursday, according to 5-year credit
default swap prices from CMA DataVision. [ID:nLDE60D0US]
                                
 Analysts in a Reuters poll say there is a one in five
chance Greece will seek a financial bailout. [ID:nLDE60C154]
                                
 Crude oil prices dropped on a combination of government
data showing increased petroleum inventories and the weak U.S.
economic reports. The price for a barrel of oil was off 0.13
percent, or $0.10, to $79.55 <CLc1>. Spot gold fell 0.07
percent, or $0.80, to $1,136.80 <XAU=>.
 (Additional reporting by Reuters correspondents worldwide;
Editing by Dan Grebler)
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