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May 22, 2012 4:43 AM GMT+0800 Global stocks rebounded from the worst week since September andcommodities snapped a three-day drop as China signaled it wouldsupport the economy and German and French officials said they wouldwork to keep Greece in the euro. The yen and dollar weakenedagainst most major peers. The Standard & Poor s 500 Index climbed the most in twomonths, surging 1.6 percent to 1,315.99 at 4 p.m. as takeover newsalso boosted stocks. Facebook (FB) Inc. tumbled below its $38offering price. Ten-year Treasury yields added two basis points to1.74 percent. The yen weakened against 15 of 16 major peers, whilethe dollar declined against 14. The S&P GSCI Index of 24 rawmaterials rebounded from its 2012 low, with oil up 1.2 percent to$92.57 a barrel and copper climbing 1 percent. Concern Greece will exit the euro has erased about $4 trillion fromglobal stock markets this month. China should adopt a proactivefiscal policy and a prudent monetary policy to bolster theeconomy, Premier Wen Jiabao said over the weekend. Germany willconsider ways to spur European economic growth and do everythingnecessary to keep Greece in Europe s currency union, Germanfinance chief Wolfgang Schaeuble said after meeting with France sPierre Moscovici. Equity prices have gotten oversold, said Mark Luschini, chiefinvestment strategist for Philadelphia-based Janney MontgomeryScott LLC, which manages about $54 billion. A more positive toneregarding efforts to put together some growth- related initiativesin Europe is enough to give investors a pause from the sellingpressure. In addition, any kind of talk about recognizing China sslowdown that could lead to stimulus would be good for globalactivity. Rebound From Four-Month Low The MSCI All-Country World Index of stocks rebounded 1.2 percentfollowing last week s 5.3 percent plunge, its worst since the weekending Sept. 23. An 8.7 percent tumble in the S&P 500 from a four-year high onApril 2 through last week left the benchmark index trading at 13.1times its companies reported earnings, the lowest valuation sinceNovember, according to data compiled by Bloomberg. The index sdividend yield at the end of last week was 2.17 percent while therate on the 10-year Treasury note slid to 1.72 percent, with theratio between the two at the highest since Oct. 3, the day theS&P 500 finished a 19 percent plunge from its 2011 high inApril. The S&P 500 surged the most in two months and rebounded fromthe lowest level since Jan. 17. Gauges of commodity, technology andindustrial companies rose more than 2 percent to lead gains in nineof the 10 main industries. Boeing Co. (BA), Caterpillar Inc. andHewlett-Packard Co. rose more than 2 percent for the biggest gainsin the Dow Jones Industrial Average, which surged 135.10 points to12,504.48. Cooper Industries Cooper Industries Plc surged 25 percent, the most in 11 years,after Eaton Corp. (ETN) agreed to buy the maker of electrical-distribution equipment for $11.8 billion. Radian Group Inc. surged18 percent to lead a rally in mortgage insurers after investorClinton Group Inc. pushed for a sale of the company. Facebook, the social networking site that raised $16 billion in itsinitial public offering, fell 11 percent to $34.03, sinking belowits $38 offer price in its second trading day. Nasdaq OMX GroupInc. (NDAQ) yesterday blamed poor design in the software ituses for driving auctions in initial public offerings afterFacebook shares were plagued by delays and mishandled orders.Nasdaq OMX rose 3.6 percent, rebounding from a 4.4 percent tumbleon May 18. JPMorgan Chase & Co. (JPM) slipped for the sixth time in sevensessions, losing 2.9 percent to a five-month low of $32.51. Thebiggest U.S. bank by assets will suspend its daily stock repurchaseprogram while maintaining the quarterly dividend, Chief ExecutiveOfficer Jamie Dimon said while discussing trading losses during aninvestor conference. The firm may face bigger losses on faulty betsin credit markets if Europe s debt crisis worsens, according toone of the hedge funds that took the other side of the trades. JPMorgan Trades They re not out of those positions, Michael Platt, co- founderand chief executive officer of BlueCrest Capital Management LLP,said today in an interview on Bloomberg Television s InsideTrack. If we end up with a catastrophe in Europe in the shortrun, they re probably not positions that anyone would want tohave. Nickel, Brent crude and gasoline jumped more than 1.8 percent tolead gains in commodities. New York-traded oil rose for the firsttime in seven sessions, rebounding from a six- month low, amid betsChina will boost growth and as Goldman Sachs Group Inc. said thebalance between supply and demand is tightening. Popolare Upgrades Three shares gained for every one that fell in the Stoxx Europe 600Index. (SXXP) Fiat SpA and Renault SA led automakers higher,jumping at least 4.7 percent. Banco Popolare SC (BP) climbed 19percent as analysts from Bank of America Corp. to Exane BNP Paribasupgraded the shares after Italy s fourth-biggest bank saidregulatory approval to use internal risk models boosted its Tier 1capital. Barclays Plc rose 2.2 percent after saying it planned tosell its entire holding of asset manager BlackRock Inc. Credit-default swaps insuring European sovereign debt rose for aseventh day, with the Markit iTraxx SovX Western Europe Index ofcontracts on 15 governments climbing 6.9 basis points to 316.25,the highest since March. The euro increased 0.3 percent to $1.2813,rebounding from a four-month low. Germany will consider all ideas on bolstering euro area growth,Finance Minister Wolfgang Schaeuble said as he and his Frenchcounterpart, Pierre Moscovici, sought to fashion a new strategyamid the Greek electoral impasse. Everything on the Table We will engage all ideas constructively and find solutions inorder to strengthen sustainable growth, Schaeuble said aftermeeting Moscovici for the first time today in Berlin. Moscovici,who became finance minister last week, said President FrancoisHollandewants everything on the table, including jointeuro-area bonds, at a meeting of European leaders two days fromnow. The yen fell 0.4 percent against the dollar and lost 0.6 percentversus the euro. The yield on the 10-year Japanese government bondrose three basis point to 0.86 percent. Volatility on Japanese debtwas the highest among developed markets, according to measures of10-year bonds, two-and 10-year yield spreads and credit defaultswaps. The change in the nation s 10-year yield was 2.9 times the90-day average. The Bank of Japan, which starts a two-day meeting tomorrow,expanded its asset-purchase program in February and April. Lastweek, two bond-buying operations failed to attract the centralbank s target for sell offers. The MSCI Emerging Markets Index (MXEF) advanced 0.8 percent,increasing for the first time in seven days. The Shanghai CompositeIndex added 0.2 percent and South Korea s Kospi index jumped 0.9percent. Russia s Micex Index rose 2.1 percent and Poland s WIG20Index climbed 1.4 percent. The Serbian dinar depreciated as much as0.9 percent to a record low against the euro after TomislavNikolic, who advocates closer economic ties with Russia, took thelead in yesterday s presidential vote. 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