GLOBAL MARKETS-Shares jump on coronavirus treatment hopes, oil soars

* Fed leaves rates near zero, sees virus risks lingering
* MSCI global stock index up over 2%
* Gilead: remdesivir trials show improvement for COVID-19
patients
* Oil posts double-digit gains after US crude storage build
slows
* Wall Street jumps; Alphabet, Boeing gain after results

(Updates with close of U.S. markets)
By Lewis Krauskopf
NEW YORK, April 29 (Reuters) - World stock markets rose
sharply on Wednesday following encouraging news for an
experimental COVID-19 treatment and some positive earnings
reports, while beaten-up oil prices soared.
MSCI's gauge of stocks across the globe .MIWD00000PUS
gained 2.35%. Major U.S. averages ended up well over 2%, while
the pan-European STOXX 600 index .STOXX rose 1.75%.
A top U.S. health official said Gilead Sciences Inc 's
GILD.O antiviral drug remdesivir is likely to become the
standard of care for COVID-19 after early results from a
clinical trial showed it helped certain patients recover more
quickly from the illness caused by the coronavirus. The development of treatments for the virus has been seen by
market strategists as critical as they could help countries
emerge from self-imposed lockdowns aimed at curbing the outbreak
that have crippled economies.
"While we wait for a vaccine, we are looking out for
anything that will help us get back into society, and we're all
hanging on this data on a day-by-day basis," said Linda Duessel,
senior equity strategist at Federated Hermes in Pittsburgh.
The Federal Reserve left interest rates near zero and
repeated a vow to use its "full range of tools" to shore up the
U.S. economy amid an ongoing coronavirus pandemic that will not
only slam growth in the near term but pose "considerable risks"
in the medium term as well. "The more significant comment is that the FOMC is concerned
about the downside risk to the economic outlook over the medium
term, suggesting they will remain extraordinarily accommodative
in policy for several years to come," said Guy LeBas, chief
fixed income strategist at Janney Montgomery Scott in
Philadelphia.
Indeed, data on Wednesday showed the U.S. economy contracted
in the first quarter at its sharpest pace since the Great
Recession, falling at a 4.8% annualized rate. On Wall Street, the Dow Jones Industrial Average .DJI rose
532.31 points, or 2.21%, to 24,633.86, the S&P 500 .SPX gained
76.12 points, or 2.66%, to 2,939.51 and the Nasdaq Composite
.IXIC added 306.98 points, or 3.57%, to 8,914.71.
As the heart of first-quarter corporate results season
arrives, Google parent Alphabet's GOOGL.O shares jumped 8.9%
after the company said a drop in Google ad sales steadied in
April, with shares of other tech titans also rallying. Boeing
BA.N shares rose 5.9% after the planemaker's report.
In Europe, shares of automakers .SXAP were lifted after
German carmaker Daimler DAIGn.DE forecast operating profit at
its Mercedes-Benz Cars & Vans division above the prior-year
level and rival Volkswagen VOWG_p.DE said it expected to be
profitable on a full-year basis. Investors across the world are growing confident the
COVID-19 pandemic may be peaking as parts of the United States,
Europe and Australia gradually ease restrictions. New Zealand
this week allowed some businesses to reopen.
Oil prices surged more than 10% after U.S. crude stockpiles
grew less than expected and gasoline posted a surprise draw,
feeding optimism that fuel consumption will recover as some
European countries and U.S. states ease coronavirus lockdowns.
U.S. West Texas Intermediate (WTI) crude CLc1 futures
settled at $15.06 a barrel, jumping $2.72, or 22%. Brent crude
futures LCOc1 settled at $22.54 a barrel, up $2.08, or 10.2%.
In currencies, the dollar index, tracking the greenback
against six major peers =USD , fell 0.339%, with the euro
EUR= up 0.5% to $1.0872.
Benchmark U.S. 10-year notes US10YT=RR last fell 2/32 in
price to yield 0.6143%, down from 0.61% late on Tuesday.

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Global currencies vs. dollar http://tmsnrt.rs/2egbfVh
Emerging markets http://tmsnrt.rs/2ihRugV
MSCI All Country World Index Market Cap http://tmsnrt.rs/2EmTD6j
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