GLOBAL MARKETS-Stocks gain, yields lower after Fed signals possible rate cuts

* Fed holds rates steady, signals cuts possible later this
year
* MSCI global stocks index rises, Wall Street indexes up
* Fed decision comes after ECB's Draghi hints at stimulus
* Dollar, benchmark U.S. yields drop

(Recasts throughout to reflect Fed decision)
By Lewis Krauskopf
NEW YORK, June 19 (Reuters) - A gauge of global stock
markets added to gains on Wednesday and benchmark U.S. Treasury
yields and the U.S. dollar fell after the U.S. Federal Reserve
signaled possible rate cuts of as much as half a percentage
point over the remainder of this year.
The U.S. central bank held interest rates steady and said it
"will act as appropriate to sustain" the economic expansion as
it approaches the 10-year mark and dropped a promise to be
"patient" in adjusting rates. The market expects the Fed could cut rates as soon as next
month.
"I think it's right in line with market expectations, puts a
July cut in play,” said Brett Ewing, chief market strategist at
First Franklin Financial Services in Tallahassee, Florida.
Investors' hopes that the Fed would soon cut interest rates
had been fueled on Tuesday when European Central Bank President
Mario Draghi hinted at economic stimulus, comments that drove up
stocks and weakened yields. "We think the Fed delivered," said John Augustine, chief
investment officer at Huntington National Bank in Columbus,
Ohio. "It did no harm. It walked right up to a cut without doing
it today. It'll likely be coming in July, absent some big trade
news or other news."
MSCI's gauge of stocks across the globe .MIWD00000PUS
gained 0.66%.
On Wall Street, the Dow Jones Industrial Average .DJI rose
50.53 points, or 0.19%, to 26,516.07, the S&P 500 .SPX gained
5.91 points, or 0.20%, to 2,923.66 and the Nasdaq Composite
.IXIC added 8.02 points, or 0.1%, to 7,961.91.
The pan-European STOXX 600 index .STOXX was little
changed.
Benchmark 10-year U.S. notes US10YT=RR last rose 5/32 in
price to yield 2.0422%, from 2.058% late on Tuesday.
The dollar index .DXY , which measures the greenback
against a basket of currencies, fell 0.54%, with the euro EUR=
up 0.51% to $1.1248.
U.S. crude CLcv1 fell 0.22% to $53.78 per barrel and Brent
LCOcv1 was last at $61.82, down 0.51% on the day.

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S&P500 approaches record high https://tmsnrt.rs/2Y7dDQE
Multiverse bond index https://tmsnrt.rs/2Y0uHbg
German, US bond yields in sharp falls this year https://tmsnrt.rs/2Y7buo4
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