GLOBAL MARKETS-U.S. data boosts shares, ECB rates steady

* U.S. shares rise on mostly upbeat economic data

* ECB leaves rates unchanged, unveils more exit strategies

* Greece debt sale oversubscribed

By Daniel Bases

NEW YORK, March 4 (Reuters) - U.S. stocks rose on Thursday, on a drop in jobless claims from Washington and solid U.S. retail sales while the European Central Bank's decision to leave interest rates unchanged tugged the euro lower.

In addition, the ECB unveiled new measures for removing the extraordinary stimulus it provided to the economy, undermining the boost the euro received from the market's strong demand for Greece's 10-year bond sale, seen as a crucial step in addressing its debt problems. [ID:nLDE6231VO] [ID:nFAE005616]

The drop in the euro against the U.S. dollar contributed to a decline in spot gold and crude oil prices.

However, the greenback's gains were capped by an unexpected plunge in contracts for pending sales of previously owned U.S. homes in January. [ID:nN04154147] [ID:nN04232780]

In midmorning U.S. trade, the euro <EUR=> was down 0.62 percent at $1.3613 from a previous close of $1.3698, while the dollar was up 0.6 percent at 88.99 yen <JPY=>. But before the release of the housing data the dollar traded at 89.12 yen.

"Pending home sales is a negative for the U.S., though a lot of other factors are positive," said Meg Browne, senior currency strategist at Brown Brothers Harriman in New York. "It is a sign that the housing market is losing some momentum."

At 11:14 a.m. (1614 GMT) the Dow Jones industrial average <.DJI> traded up 18.29 points, or 0.18 percent, at 10,415.05. The Standard & Poor's 500 Index <.SPX> gained 1.12 points, or 0.10 percent, at 1,119.91. The Nasdaq Composite Index <.IXIC> rose 0.38 points, or 0.02 percent, at 2,281.06.

Shares in Europe gave up gains in the late trading hours. The FTSEurofirst <.FTEU3> index of leading shares was off 0.05 percent at 1,035.04, off an earlier six-week high.

U.S. light sweet crude oil <CLc1> fell 86 cents, or 1.06 percent, to $80.01 per barrel, and spot gold prices <XAU=> fell $11.15, or 0.98 percent, to $1127.90.

DATA

The U.S. reported a fall in the number of new applications for unemployment benefits last week while productivity was stronger than initially thought in the fourth quarter.

That led to a drop in prices for U.S. Treasuries, only to see those losses pared by the pending homes data.

Benchmark 10-year U.S. Treasuries were off just 1/32 of a point in price, yielding 3.63 percent <US10YT=RR>. In Europe, Bund futures hit a session high after the housing data surprise. March Bund futures <FGBLc1> gained as much as 22 ticks on the day to 124.30, having earlier fallen to 123.87.

The dollar held its gains against a basket of major trading currencies, with the U.S. Dollar Index <.DXY> up 0.66 percent at 80.503 from a previous session close of 79.977.

Retail sales rose in February. [ID:nN04258755]. Of 28 retailers reporting sales so far, 76 percent have topped analyst expectations, with a median surprise of 2.1 percent, according to Thomson Reuters data.

Data showed the euro zone economy barely grew in the last three months of 2009 compared with the previous quarter, with the only driver being exports, which benefit from a weak euro.

RATES

After the ECB left its benchmark interest rate unchanged at a record low 1 percent for a tenth consecutive month, the bank's president, Jean-Claude Trichet, said at a news conference, "The latest information has also confirmed that the economic recovery in the euro area is on track, although it is likely to remain uneven."

Earlier, Greece's ability to place a 5 billion euro 10-year syndicated bond was welcome news. It came a day after the government announced draconian measures to help put its finances in order.

Athens needs to borrow 53 billion euros ($72 billion) this year to repay existing debt and cover its huge budget deficit. The cost will be crippling if it has to go on offering such a high premium over benchmark German bonds. <^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ Europe's fight with debt [ID:nLDE6211JD] Graphic on euro zone debt crisis http://r.reuters.com/fyw72j For a story on the bond issue click on [LDE6230XS] ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^> (Additional reporting by Natsuko Waki and Ian Chua in London; Lucia Mutikani in Washington; Vivianne Rodrigues in New York; Editing by Kenneth Barry)