Hong Kong, China stocks at 3mth highs
Dollar, oil steady
U.S. PPI inflation data later on Friday

LONDONSYDNEY, Dec 9 Reuters World stocks rose on Friday on expectations China39;s economy would strengthen as COVID19 curbs ease, but stocks were heading for a 2 weekly loss in nervy markets ahead of the Federal Reserve39;s policy meeting next week.

U.S. SP futures were up 0.18, while European stocks were steady.

China39;s Premier Li Keqiang, in comments carried by state media, said on Thursday the country39;s shift in COVID19 policy would allow the economy to pick up pace, a day after a toplevel party meeting pledged to focus on stabilising growth while optimising pandemic measures.

Fed policymakers meet next week and are likely to announce a 50 basis point hike in the U.S. central bank39;s lending rate, while indicating a slower pace of future rate hikes.

The market is very much focused on what the Fed is going to do on Wednesday, no one wants to take on any big positions, said Giles Coghlan, chief currency analyst at HYCM, though he added that Chinese stocks were helped by the fact that China had made that COVID pivot.

The MSCI world equity index rose 0.22, while MSCI39;s broadest index of AsiaPacific shares outside Japan gained 1.2, edging closer to a threemonth high hit earlier in the week.

Japan39;s Nikkei climbed 1.2. Britain39;s FTSE lost 0.2 to an 11day low, hurt by energy stocks .

Hong Kong39;s Hang Seng index jumped 2.3 to threemonth highs, with…