* House Democrats introduce article on second Trump
impeachment
* Dollar hits 2-1/2 week high, bitcoin tumbles as much as
21%
* Graphic: 2020 asset performance http://tmsnrt.rs/2yaDPgn
* Graphic: World FX rates in 2020 http://tmsnrt.rs/2egbfVh
(Updates prices, changes comment, dateline; previous LONDON)
By Rodrigo Campos
NEW YORK, Jan 11 (Reuters) - Stocks came off record highs on
Monday partly on caution over rising coronavirus cases globally
while elevated Treasury yields continued to support the dollar,
which touched its highest in two and a half weeks against a
basket of peers.
Worldwide coronavirus cases surpassed 90 million on Monday,
according to a Reuters tally. Stocks on Wall Street slipped ahead of the start of an
earnings season that arrives with equities at record highs, and
as House Democrats introduced an article of impeachment against
President Donald Trump. Rising coronavirus cases across Europe
and China dragged down commodity stocks.
The Dow Jones Industrial Average .DJI fell 72.17 points,
or 0.23%, to 31,025.8, the S&P 500 .SPX lost 13.32 points, or
0.35%, to 3,811.36 and the Nasdaq Composite .IXIC dropped
89.52 points, or 0.68%, to 13,112.46.
The pan-European STOXX 600 index .STOXX lost 0.67%.
With Asian stock markets also lower, MSCI's gauge of stocks
across the globe .MIWD00000PUS shed 0.50% after closing at a
record high on Friday.
Longer-term Treasury yields were at their highest since
March before new long-dated supply this week and on speculation
of more U.S. fiscal stimulus since Democrats will have control
of Congress and the White House. Expectations of a multitrillion-dollar stimulus plan and the
belief the Federal Reserve will not push back on rising interest
rates along with new Treasury supply are helping yields rise,
said Gennadiy Goldberg, an interest rate strategist at TD
Securities in New York.
Benchmark 10-year notes US10YT=RR last fell 7/32 in price
to yield 1.129%, from 1.107% late on Friday.
The climb in yields in turn offered some support to the
dollar, which rose to its highest in over two weeks against a
basket of currencies.
"While the USD may catch a bid on position-adjustment or
profit-taking after its recent weakness, a sustained recovery
will have to be accompanied by either a clear improvement in
recent yield trends or a positive U.S. growth shock," said Shaun
Osborne, chief currency strategist at Scotiabank.
The dollar index =USD rose 0.124%, with the euro EUR=
down 0.41% to $1.2168.
The Japanese yen weakened 0.17% versus the greenback at
104.12 per dollar, while Sterling GBP= was last trading at
$1.3526, down 0.27% on the day.
Morgan Stanley said it had moved to neutral from bullish on
emerging market currencies as its forecasts had been hit and
factors that kept the U.S. dollar on the back foot may not be
sustained.
Crude oil prices fell, hit by renewed concerns about global
fuel demand amid tough coronavirus lockdowns across the globe,
as well as the stronger dollar. O/R
"The renewed concerns about demand due to very high numbers
of new corona cases and further mobility restrictions, plus the
stronger U.S. dollar, are generating selling pressure,"
Commerzbank analyst Eugen Weinberg said.
U.S. crude CLc1 recently fell 0.29% to $52.09 per barrel
and Brent LCOc1 was at $55.56, down 0.77% on the day.
Spot gold XAU= dropped 0.1% to $1,847.41 an ounce. Silver
XAG= fell 0.87% to $25.15.
Bitcoin BTC=BTSP last fell 17.34% to $31,554.80.
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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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