GLOBAL MARKETS-Stocks slip from record as investors gauge vaccine hope with virus concern

(Updates to close of U.S. markets, oil settlement prices)
* World stocks pull back from record level
* Oil little changed after Monday jump
* Dollar weakens on rising case numbers, yuan rising

By Chuck Mikolajczak
NEW YORK, Nov 17 (Reuters) - A gauge of global stocks edged
lower from a record on Tuesday, as rising coronavirus cases
raised concerns about fresh lockdown measures and tamped down
recent optimism over promising vaccine trial results.
U.S. stocks moved off their worst levels of the day but the
Dow and S&P 500 remained in the red as several states imposed
new restrictions on gatherings amid climbing COVID-19 cases and
the onset of colder weather. Losses on the Nasdaq were blunted, however, in part due to a
8.21% jump in Tesla TSLA.O on news the electric car maker will
be added to the S&P 500 in December.
Investors cheered positive vaccine trial results from
Moderna MRNA.O on Monday, the second upbeat report on a
coronavirus trial in a week.
"We have a lot of risk in the next few months but the market
as whole disagrees," said Mike Zigmont, head of research and
trading at Harvest Volatility Management in New York.
"So maybe the market is in for a rude surprise."
Still, analysts have warned that absent a new fiscal
stimulus package, the economy is likely to falter until a
vaccine is available for distribution. U.S. Senate Majority
Leader Mitch McConnell said he is open to a $500 billion
package, but noted he has not had any private discussions with
Democrats who control the House of Representatives or
President-elect Joe Biden. Data on Tuesday showed retail sales increased less than
forecast in October, with the potential for even further
slowing. Factory production accelerated but remained well below
levels prior to the pandemic.
Federal reserve Chair Jerome Powell said on Tuesday the
current surge in coronavirus cases is a big concern, and the
economy will continue to need both fiscal and monetary policy
support. The Dow Jones Industrial Average .DJI fell 166.49 points,
or 0.56%, to 29,783.95, the S&P 500 .SPX lost 17.31 points, or
0.48%, to 3,609.6 and the Nasdaq Composite .IXIC dropped 24.79
points, or 0.21%, to 11,899.34.
European shares closed lower and the STOXX 600 dipped from
an eight-month high, as Sweden moved to restrict the size of
public gatherings and a British medical adviser suggested
strengthening the three-tier system of restrictions when the
full lockdown in England ends.
The pan-European STOXX 600 index .STOXX lost 0.24% and
MSCI's gauge of stocks across the globe .MIWD00000PUS shed
0.12% after closing at a record 613.61 in the prior session.
U.S. Treasury yields fell in the wake of the retail sales
report as it underscored the possibility of a slowdown in the
fourth quarter. Benchmark 10-year notes US10YT=RR last rose 11/32 in price
to yield 0.8701%, from 0.906% late on Monday.
The U.S. dollar remained soft, touching its lowest level in
a week, with expectations for continued weakness on expectations
for more fiscal and monetary stimulus as well as optimism over a
potential vaccine.
The dollar index =USD fell 0.082%, with the euro EUR= up
0.08% to $1.1862.
The offshore Chinese yuan CNH=EBS rose to its highest
since June 2018 against the dollar, as positive economic data in
the world's second largest economy buoys the currency.
prices were little changed, as short-term demand
concerns overshadowed vaccine hopes and the possibility of
tighter supply policy from OPEC+ in 2021.
U.S. crude CLc1 settled up 0.22% at $41.43 per barrel and
Brent LCOc1 was $43.75, down 0.16% on the day.

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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
China's Yuan is surging https://tmsnrt.rs/3pECkSL
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