European stocks rose, erasing the Dow Jones Stoxx 600 Index’s loss for the year, and shares in Asia and US futures climbed as speculation grew that the worst of the global recession is over.

The Stoxx 600 was also poised for its biggest monthly gain on record as BASF SE, the world’s biggest chemical company, rallied 7.9 percent after first-quarter earnings beat analysts’ estimates. British Sky Broadcasting Group Plc rose 2.8 percent as the UK’s largest pay-television provider said operating profit and sales climbed. Honda Motor Co. surged 9.4 percent in Tokyo after forecasting a profit for the current year.

Asian stocks surged, with the MSCI World Index set for its best month since at least 1989, as better-than-expected Japanese production and US consumer spending fueled optimism the global economy is recovering.

Canon Inc., which gets almost a third of its sales from the Americas, surged 6.1 percent in Tokyo. Honda Motor Co. leapt 9.4 percent, after forecasting a profit on optimism US car demand will recover. Taiwan’s Far EasTone Telecommunications Co. led the Taiex Index’s 6.7 percent rally after China said it will allow companies to invest in businesses on the island as relations between the two sides thaw.

The Nikkei 225 Stock Average surged 3.9 percent, where stock markets resumed trading after a holiday on Wednesday. Semiconductor equipment maker Tokyo Electron Ltd. jumped 8.7 percent after reporting earnings above its forecast, while auto-parts supplier Stanley Electric Co. soared 17 percent as Nomura Holdings Inc. raised the shares to “buy.”

US stocks are poised for the biggest monthly gain in nine years as companies from Wells Fargo & Co. to Marriott International Inc. and Ford Motor Co. beat profit estimates, spurring speculation the recession is easing.

Valletta Fund Management Ltd, The Mall Offices, Level 6, The Mall, Floriana VLT 16,

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