GLOBAL MARKETS-Stocks, crude surge as profits, data spur rally

Wall Street rallies on solid profits, recovery hopes

Oil jumps as economic data raises economic recovery hope

* Dollar slips as risk sentiment improves

By Herbert Lash

NEW YORK, July 30 - Global stocks rallied and oil surged more than 5 percent on Thursday as solid corporate results worldwide and encouraging economic data boosted sentiment that had turned skittish earlier in the week.

Commodity prices jumped, with the Reuters-Jefferies CRB index <.CRB> of 19 commodities rising 3.9 percent, its biggest daily gain since March, after a two-day sell-off.

And Long-dated U.S. Treasury bonds rebounded as fears about the appetite for U.S. government debt eased after robust demand for $28 billion in new seven-year notes. ID:[nN30286312]

U.S. equity gains were broad-based, with the Standard & Poor’s 500 Index <.SPX> hitting an almost nine-month intraday high that was less than 4 points below the key 1,000 mark. The S&P closed up

U.S. stocks fell today, Monday, as investors worried about the potential strength and timing of an economic recovery, sending oil prices and energy shares lower.

Markets briefly cut losses after data showed the service sector contracted at a slower pace in June, blunting some pessimism over the economy after a last week’s much worse-than-expected jobs report.

“Overall the data looks like a positive, although it may not be enough in the near term to overcome last week’s disappointing jobs report,” said Michael Sheldon, chief market strategist at RDM Financial in Westport, Connecticut.

Oil touched a five-week low and fell to around $64 a barrel, sending Exxon Mobil Corp down 2.1 percent at $67.05, and Chevron Corp fell 2.1 percent to $63.09. The two companies were the biggest weights on the Dow Jones industrial average.

Although the weaker oil prices bode well for recession-weary consumers, strong commodity prices have been viewed as a signal the global economy