By Justin Carrigan Feb. 9 (Bloomberg) -- The euro rallied and emerging-market stocks recovered from the worst three-day slide in a year on speculation Greece will get European help to tackle its budget deficit. U.S. stock-index futures advanced. The euro strengthened 0.6 percent against the dollar at 10:23 a.m. in London, snapping four days of declines, and ended a three-day drop against the yen. The MSCI Emerging Markets Index added 0.9 percent after falling 6.1 percent in the past three sessions. Futures on the Standard & Poor’s 500 Index increased 0.8 percent. Greece’s ASE Index rose 3.4 percent, rebounding from four days of losses. European Union leaders will discuss Greece’s plans to reduce the region’s biggest deficit when they meet Feb. 11, and European Central Bank President Jean-Claude Trichet’s decision to leave a meeting of policy makers in Sydney one day early fanned speculation that officials will agree on aid. European Commission President Jose Barroso said investors would be wrong to bet against the euro. “The markets are smelling a deal for Greece, and for that reason, we’re seeing some stabilization,” said Robin Marshall, director of fixed income in London at Smith & Williamson Investment Management, which oversees about $20 billion. “It’s hard to see there not being one, given the potential fallout and contagion effect.” Yen, Pound The 16-nation currency climbed as much as 0.7 percent against the dollar, its biggest gain since Jan. 11. The euro appreciated 1 percent versus the yen and 0.6 percent compared with the British pound. Greek banks led the gains in European stocks as National Bank of Greece SA, the nation’s biggest lender, surged 6.3 percent in Athens, while Alpha Bank AE jumped 7.1 percent. The 10-year Greek government bond rose, with the yield falling 10 basis points to 6.66 percent. Taiwan shares led the advance among major emerging markets, with the benchmark Taiex index climbing 2 percent. Developing- nation currencies strengthened, led by a 0.7 percent advance in South Korea’s won against the dollar and a 0.3 percent increase in Poland’s zloty versus the euro. The gain in U.S. futures indicated the S&P 500 may rebound from yesterday’s 0.9 percent drop. The Dow Jones Industrial Average closed yesterday below 10,000 for the first time since November on concern deteriorating European government finances will hurt economies elsewhere. European Stocks The MSCI World Index of 23 developed nations’ stocks added 0.1 percent, ending four days of losses. Europe’s Dow Jones Stoxx 600 Index climbed 0.3 percent. Swatch Group AG rallied 5.5 percent in Zurich as the maker of Omegas posted better-than- estimated earnings. Gains in Europe were limited as Unibail-Rodamco SE, Europe’s largest shopping-center owner, dropped 3.9 percent in Paris after saying the recession curbed growth in rental income. SAS AB plummeted 21 percent in Stockholm as the owner of the Nordic region’s largest airline reported a loss. The MSCI Asia Pacific Index added 0.3 percent, gaining for the first time in four days. Nissan Motor Co. predicted a return to profit this fiscal year, scrapping an earlier loss estimate. Treasuries fell for the first time in four days as the government prepared to sell record-tying amounts of three-, 10- and 30-year bonds this week, starting with $40 billion of 2013 notes today. The yield on the 10-year note rose 3 basis points to 3.60 percent. Copper advanced 1 percent to $6,510 a metric ton in London, leading gains in industrial metals. Gold for immediate delivery added 0.7 percent to $1,070.43 an ounce. Crude oil advanced 0.8 percent to $72.46 a barrel in New York trading. To contact the reporter for this story: Justin Carrigan in London at jcarrigan@bloomberg.net

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