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A global gauge of equities rose for a second straight... [Derived headline]

August 12, 2014

A global gauge of equities rose for a second straight day, posting its largest daily advance in four months on bets on a reduced risk of direct conflict between Russia and Ukraine.

US stocks also got a lift from Federal Reserve vice-chairman Stanley Fischer, whose dovish comments could damp down hawkish bets that the Fed is ready to start a tightening cycle in monetary policy.

Yields on 10-year US debt rose from 14-month lows that were hit on Friday. The yield on the 10-year US Treasury note edged up just 7 basis points to 2.422 per cent. On Friday, it briefly fell to 2.349 per cent, a level not seen since June 2013.

Shares of Priceline Group rose $27.72, or 2.2%, to $1,309.20 after the company reported second-quarter earnings that topped Wall Street expectations. The online travel company said the summer season got off to a strong start. Shares of rival Expedia gained $1.39 or 1.7%, to $83.94.

Chiquita Brands International surged $3.04, or 30%, to $13.10 after the company received a buyout offer from investment firm Safra Group and the Brazilian agribusiness and juice company Cutrale Group.

Safra and Cutrale are offering $13 per share, a 29% premium to Chiquita's closing price of $10.06 on Friday. Chiquita said its board would review it and asked shareholders to await its recommendation. The unsolicited bid comes as Chiquita and Fyffes of Ireland were working on their own transaction. The two companies agreed in March to merge in a stock-for-stock deal to create the world's biggest banana supplier.

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Source: Herald, The (Scotland)

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