Encouraging economic news and a rare rise in oil prices helped give the US stock market its first gain in the new year.

The European Central Bank (ECB) published the legal act for purchases of asset-backed securities, setting it up to start buying the debt as soon as today.

The ECB has picked four asset managers to aid purchases of asset-backed securities that it says will start next month.

The US stock market closed out its best week in nearly two years on a positive note today, helped by strong quarterly earnings from Microsoft and other big US companies.

The euro will survive because of the strength of the European Commission, which will push through legislation sufficient enough to keep the monetary union in place, according to John Nugee, senior managing director with State Street Global Advisors.

Bank of Ireland today announced the completion of the sale of Bank of Ireland Asset Management (BIAM).

Bank of Ireland has sold its asset-management arm to State Street Global Advisors for €57m.

Bank of Ireland Asset Management said today that its indexation business in Ireland now manages in excess of €10bn on behalf of Irish institutional investors.

THOUSANDS of vulnerable people have received a reassurance from the Courts Service that €1 billion it invested on their behalf has escaped the worst of the worldwide stock market turmoil.

A TOTAL of €932 million has been invested on behalf of people for whom the Courts Service has been holding money.

Wall Street closed narrowly mixed today as investors traded cautiously ahead of the Labour Department’s Friday reading on December employment. Inflation jitters remained high as oil prices set a new trading record above 100.

THE National Pensions Reserve Fund (NPRF) has awarded new passive equity mandates and plans to invest €590 million in two S&P 500 index-plus products and €190m in currency funds.

THE National Pension Reserve Fund (NPRF) is to put out a tender for managers of its €6 billion passive equity portfolio.

Takeover target Somerfield was today urged by shareholders to walk away from a bid rather than accept a cut-price offer.

US stocks enjoyed a late rally today to finish higher despite a new record price for oil and gloomy third-quarter outlooks from several companies.

Abbey National, the one time Bank of Ireland takeover target, has begun outsourcing the management of some of its £29bn investment funds, dividing them up between a host of primarily US owned global companies.

Wall Street surged again today lifting the Nasdaq composite index to its best close in nearly 22 months as investors welcomed reports of strong growth in the nation’s manufacturing sector and a hefty rise in construction spending.

US stocks regained some upward momentum today, rising on news that President George Bush would sign a tax cut bill into law and on a favourable court decision for cigarette makers.

Stocks tumbled today, pulling the Dow Jones industrials down more than 170 points, after France said it was prepared to vote against the UN resolution on Iraq.

THE COURTS are to invest up to €800m euro in the stock market and other equity-based schemes to ensure people awarded damages receive the maximum amount of money possible.

Investors’ anticipation of a tax cut reignited the New Year’s rally on Wall Street today, sending stocks higher and lifting the Dow Jones industrials more than 170 points.

US STOCK investors took a breather yesterday afternoon, pulling back a little to chew over the previous session’s gains and a number of deals and downgrades in telecom and media.