Investors desperate for news indicating the US economic recovery might be on track after all, and received it overnight as a report on durable goods orders surpassed expectations.

Investors found some value among beaten-down stocks on Wall St overnight as they picked up shares of Apple and IBM amid hope the Fed will announce new measures to shore up the US economy.

Disappointment about the outcome of a meeting between German Chancellor Angela Merkel and French President Nicolas Sarkozy ruled investor sentiment on both sides of the Atlantic overnight.

World share markets are up again, after a good earnings report from Cisco and a positive US jobs report.

The New Zealand stock exchange is back in positive territory - currently up 0.2 per cent.

Wall St has followed European markets sharply down overnight, with the Dow Jones falling 5.5 per cent, the Standard & Poor's 500 index down 6.6 per cent and the Nasdaq down 6.9 per cent.

The NZ stock exchange has fallen 2.5 per cent on opening, following a big slump on world markets overnight. The NZX 50 Index shed 80.89 points to 3297.86, the lowest level since December.

An agreement on the US debt ceiling did little to stem investors' concern overnight that the world's largest economy is faltering, which will hurt corporate earnings down the road.

Investors on Wall Street sat on their hands while the US Democrats and Republicans duked it out over rival plans to lower the country's deficit and raise the US$14.3 trillion debt ceiling.

A Mexican standoff in the US debt talks, with a potential credit ratings downgrade and a government default at stake, kept investors on the sidelines overnight.

Editors, reporters, politicians, police officers ... all are involved as a media empire's shame is exposed.

Investors' optimism about fresh stimulus by the Federal Reserve was dampened overnight as Ben Bernanke indicated the central bank wasn't planning any immediate action.

World share markets rose overnight after Federal Reserve chairman Ben Bernanke said the Fed was ready to help the US economy if there were further signs of weakness.

Fear that the debt crisis in Europe is spreading has sent investors running for the exits, hammering both global equities and the euro.

Retailers helped boost Wall Street after a surprisingly buoyant jobs report and better-than-expected sales at big retailers.

The tone on Wall Street and Europe's equity markets remained positive overnight amid optimism the EU is making progress in its efforts to avert a Greek default.