GLOBAL MARKETS

World stocks fell and the dollar hit a record low against the euro on Wednesday after signs of fresh woes in the U.S. high-risk mortgage sector rekindled concerns about the potential impact on the wider economy.

Ventana Medical Systems Inc. said on Wednesday that its board unanimously rejected a $3 billion tender offer from Swiss drugmaker Roche Holding AG.

The dollar weakened broadly on Wednesday, striking a record low versus the euro and a 26-year trough against sterling as growing fears surrounding the U.S. subprime mortgage and credit sectors gripped financial markets.

U.S. stock index futures pointed to a higher start on Wall Street on Wednesday, recovering from the previous session's fall, when housing weakness hit shares. U.S. stocks slid on Tuesday as the subprime mortgage crisis escalated, undermining banking shares, while Home Depot and other housing-related companies cut their outlooks.

China's main stock index ended up 0.33 percent on Wednesday, buoyed by strong real estate and bank stocks, but investors remained worried that imminent initial public offerings may swamp the market with fresh supplies of shares.

Stocks slid on Tuesday as the subprime mortgage crisis escalated, undermining banking shares, while Home Depot Inc. and other housing-related companies lowered their outlooks.

Johnson & Johnson said on Monday it will repurchase up to $10 billion of its common stock in the largest buyback in its history, sending its shares almost 2 percent higher.

Data storage company EMC Corp.'s subsidiary, VMware, said it expects its initial public offering to be priced between $23 and $25 per share.

Two main Egyptian stock indexes broke lifetime closing highs on Sunday as Orascom Construction Industries continued a share price rise sparked by fresh expansion, traders said.

U.S. stocks could rise this week if the first wave of quarterly earnings inject optimism about results for the period and on economic growth that has surprised on the upside.

A stronger-than-expected reading on Japanese machinery orders pushed up machinery stocks such as industrial robot maker Fanuc Ltd. on Monday, sending the Nikkei average 0.55 percent higher.

Stocks rose on Friday, with all three major Wall Street indexes poised to end the week higher, after rising oil prices lifted energy shares and a stronger-than-expected jobs report indicated strength in the economy.

The dollar fell against the euro on Friday after an unexpectedly strong U.S. jobs report failed to change views that U.S. interest rates will stay on hold this year while overseas rates rise.

Gold was steady on Friday ahead of the release of U.S. payrolls data, while Tokyo futures shed the previous day's gains to track losses in New York.

Financial markets focused on Friday on upcoming U.S. jobs data for a guide to the path of interest rates, leaving stocks mixed, the dollar clinging on to recent gains and bonds weaker.

U.S. Treasury debt prices fell on Thursday, following the lead of weaker euro zone debt and after stronger-than-expected U.S. data on jobs and the services sector.

The dollar rose on Thursday, erasing earlier losses against the euro after a gauge of activity in the U.S. services sector beat forecasts for the month of June.

Stocks fell on Thursday as rising bond yields fueled concern about a $20 billion buyout of Hilton Hotels Corp. General Motors Corp. dragged on the Dow. The largest U.S. automaker's shares fell after a steeper-than-expected drop in U.S. sales in June. On Thursday, Bear Stearns cut its recommendation on General Motors' stock.

The euro hit a record high versus the low-yielding yen on Thursday, boosted by expectations that the European Central Bank will keep interest rates on hold later in the session but pave the way for a rise in the coming months.

Shares of Apple Inc. rose more than 4 percent to an all-time high on Thursday as investors bet on strong demand for its media-playing iPhone and speculation mounted over plans to sell the device in Europe.

Interest rates dominated market sentiment on Thursday with decisions due from the Europe Central Bank and Bank of England, putting stocks, bonds and currencies on edge.

The Canadian dollar was higher versus the greenback on Wednesday, supported by strong commodity prices in a quiet session marked by a lack of domestic data and with U.S. markets closed for the Independence Day holiday.

Mexican stocks rose in light trading on Wednesday, driven by gains in leading retailer Wal-Mart de Mexico and cell phone operator America Movil.

World stocks surged to another lifetime peak on Wednesday as robust economic growth and flourishing corporate takeover activity helped to ease concerns about the prospect of higher borrowing costs.

Sterling jumped to a 26-year high versus the dollar for a third day on Wednesday, vaulting $2.02 and showing no signs of vertigo so far against a broadly weak dollar that stayed near record lows versus the euro.

Britain's leading share index had edged higher by midday on Wednesday, led by hotel groups after Blackstone agreed to buy Hilton, but overall activity was thin as U.S. markets are closed for a holiday and investors await an interest rate decision on Thursday.

KKR & Co. LP, the prominent U.S. buyout firm that pioneered the leveraged buyout industry, filed with regulators on Tuesday to raise up to $1.25 billion in an initial public offering.

European share indexes ticked higher early on Wednesday, helped by the hotel sector, but investors were awaiting fresh direction ahead of two rate decisions later in the week and with U.S. markets closed for the Independence Day holiday.

Stocks gained in a holiday-shortened session on Tuesday, lifted by fresh takeover talk and after a report suggesting Apple Inc. will generate fat profit margins on its iPhone.