* Global stocks up ahead of U.S. non-farm payrolls data
* Dollar down vs yen; Kan backs off call for weaker yen
* Crude and metal prices dip
By Dominic Lau
LONDON, Jan 8 (Reuters) - Global stocks rose on Friday,
anticipating an improvement in U.S. monthly jobs data, while the
dollar fell from a four-month high against the yen after Japan's
new finance minister backed off his call for a weaker currency.
Crude oil prices <CLc1> slipped, extending losses the
previous day on worries about tighter Chinese monetary policy.
Yields on safe-haven government bonds ticked higher.
The latest Reuters poll suggested the U.S. economy stopped
shedding jobs in December, as investors were more optimistic
about the world's largest economy.
A poll of 84 economists on Thursday forecast non-farm
payrolls, due at 1330 GMT, would be flat in December after
dropping by 11,000 in November, far fewer than in previous
months. []
U.S. President Barack Obama will make a statement on the
economy at 1940 GMT.
The jobs report "is hopefully going to show us a steadily
improving trend which will give us a bit more confidence," said
Justin Urquhart Stewart, director at Seven Investment
Management.
Global equities measured in the MSCI All-Country World Index
<.MWID00000PUS> rose 0.2 percent, hovering near a 15-month high.
In Europe, the FTSEurofirst 300 <> added 0.6 percent
and Japan's Nikkei average <> gained 1.1 percent, hitting
its highest close in 15 months.
U.S. stock index futures <DJc1> <SPc1> <NDc1> were flat to
up 0.1 percent.
However, a strong jobs report would raise speculation that
the U.S. Federal Reserve could start tightening and even
increase interest rates sooner than expected.
James Bullard, president of St. Louis Federal Reserve Bank,
said uncertainty about inflation was mounting in the United
States, although price pressure remain subdued. []
Overnight, other senior Fed officials placed different
emphasis on inflation risks, with one warning failure to
withdraw support policies soon enough could trigger inflation
while another played down such risks. []
Separately, data showed British factory gate inflation rose
more than expected in December and at its fastest annual rate in
nearly a year, while South Korea's central bank underscored its
intention to raise rates as soon as February.
DOLLAR EASES VS YEN
The dollar dipped 0.1 percent against the yen <JPY=> to
93.19 after Naoto Kan, Japan's new finance minister, backed away
from his call for a weaker yen and said currency levels should
be determined by markets. []
The greenback was also weaker against the euro <EUR=> at
$1.4307, though the dollar <.DXY> was flat versus a basket of
major currencies.
"The expectation is for the dollar to continue strengthening
on the back of payrolls," said Lee Hardman, currency economist
at Bank of Tokyo-Mitsubishi UFJ. "The dollar could see some
setback on a weaker reading, but that would just be a good
opportunity to buy dollars."
Oil prices were down 0.2 percent at $82.50 a barrel on
concerns over tighter Chinese monetary policy.
China's Vice-Governor Yi Gang said in comments posted on
Friday that the Chinese central bank will further improve the
effectiveness of its monetary policy implementation, making it
more targeted, while maintaining its appropriately loose stance.
Gold prices <XAU=>, deemed as a safe asset, also eased.
Yields on benchmark 10-year U.S. Treasuries <US10YT=RR> were
up 2 basis points at 3.851 percent, while those on 10-year Bunds
<EU10YT=RR> were also up 2 basis points at 3.392 percent.
(Additional reporting by Joanne Frearson and Tamawa Desai in
London; editing by Ron Askew)
