US shares have closed higher on the news of former US Treasury Secretary Larry Summers’ withdrawal from the race to be head of the US central bank.
He was among the front-runners to succeed Ben Bernanke as head of the Federal Reserve, one of the most powerful jobs in the US.
He was thought to want to reduce the amount of money being pumped into the economy faster than other candidates.
The Dow Jones rose 118.72 points, or 0.77%, to 15,494.78.
Earlier, markets in Europe and Asia had risen. At the end of trade in Europe, the UK’s FTSE 100 share index was up 0.6%, Germany’s Dax index was 1.2% higher and France’s Cac 40 was up 0.9%.
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