GLOBAL MARKETS-Stimulus hopes push global equity markets to new records, bonds hit 11-mth lows

(Updates through close of U.S. trading)
By David Randall
NEW YORK, Jan 8 (Reuters) - A global equities rally pushed
Japan's Nikkei to a more than three-decade high and U.S. stock
benchmarks to new records on Friday, while safe havens such as
Treasuries and gold sold off as investors looked past U.S.
political unrest and focused on further stimulus to mend the
economic damage of the coronavirus pandemic.
Risky assets, including oil, emerging market stocks and
bitcoin, jumped, while a sell-off in 10-year U.S. Treasuries
pushed their yields to the highest levels since March.
The surge came despite data from the Labor Department that
showed the U.S. economy shed 140,000 jobs in December, the first
time that payrolls decreased in eight months. Yet
investors expect that President-elect Joe Biden's incoming
administration will pass bigger fiscal stimulus and
infrastructure spending plans.
"The economic reality stands in stark contrast to the
markets' view of the world – we are all living in the present,
with a badly damaged economy, while the market is living in the
future, expecting a post-COVID or at least post-vaccine world,"
said Chris Zaccarelli, chief investment officer for Independent
Advisor Alliance.
MSCI's gauge of stocks across the globe .MIWD00000PUS
gained 0.84%% following broad gains in Asia and Europe, lifting
it to new records. The Nikkei hit its highest level since
September, 1990.
On Wall Street, the Dow Jones Industrial Average .DJI rose
56.84 points, or 0.18%, to 31,097.97, the S&P 500 .SPX gained
20.89 points, or 0.55%, to 3,824.68 and the Nasdaq Composite
.IXIC added 134.50 points, or 1.03%, to 13,201.98.
"Investors are buying the end of an erratic Trump
administration and looking forward to something new, which is a
Biden presidency and the prospect of a significant spending
program," said Francois Savary, chief investment officer at
Swiss wealth manager Prime Partners.
Rising risk appetite weighed on bonds. Benchmark 10-year
notes US10YT=RR fell 12/32 in price to yield 1.1119%, from
1.071% late on Thursday.
The dollar index =USD rose 0.267%, with the euro EUR=
down 0.38% to $1.2223.
Cryptocurrency bitcoin BTC=BTSP pared gains after hitting
another all-time high, dropping 1.6% on the day. Market watchers
have said a pullback is likely following its recent run-up.
In commodity markets, oil traders continued to focus on
Saudi Arabia's pledge to deepen production cuts, pushing oil
prices near 11-month highs. U.S. crude CLc1 rose 2.8% to end at $52.24 per barrel and
Brent LCOc1 settled at $55.99, up 3% on the day.
Spot gold XAU= dropped 3.4% to $1,847.15 an
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Global assets http://tmsnrt.rs/2jvdmXl
Global currencies vs. dollar http://tmsnrt.rs/2egbfVh
Emerging markets http://tmsnrt.rs/2ihRugV
MSCI All Country Wolrd Index Market Cap http://tmsnrt.rs/2EmTD6j
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