Stocks, the euro, oil and gold all steadied on Tuesday as traders kept a wary eye on Ukraine and Russia and on the pace of growth in China. That pattern was set overnight in Asia, where markets took a break from recent volatile trading but struggled to do much more than make incremental moves. World shares rose 0.1 percent, buoyed in part by Europe, where gains by most major indexes broadly mirroring moves in Asia ex-Japan and Japan (NIK:^9452).
Chinese PC maker Lenovo Group Ltd said it was up to IBM to resolve a wildcat strike at a China-based factory, as a deal to buy the U.S. company's server business had yet to be finalized. More than 1,000 workers went on strike last week to protest over the terms of their potential transfer to Lenovo, which said in January it would buy one of the server businesses of International Business Machine (IBM) for $2.3 billion. In a statement posted on its website late on Monday, Lenovo said the strike was an internal matter for IBM but it also pledged to maintain the salaries and benefits of all workers that chose to stay with the company after the deal is completed. More than 7,500 IBM employees in more than 60 countries were expected to transfer to Lenovo once the deal is completed, Lenovo said.
Several U.S. institutional investors said they are closely monitoring the developments at Pimco, the world's largest bond firm, in the wake of Mohamed El-Erian's abrupt resignation as CEO and ensuing acrimony between him and co-founder Bill Gross. The investors, including retirement systems, have formally put Pimco on "watch lists," a signal that they will keep a much closer eye its performance than usual. "We intend to go out and meet with them over the course of the next month," said David Hunter, chief investment officer of the North Dakota State Investment Board.