GLOBAL MARKETS-Stocks tumble as coronavirus lockdowns loom; dollar rises

* European stocks close at a five-month low
* Germany and France to announce restrictions
* US dollar rallies again; gold, silver slip
* Graphic: 2020 asset performance http://tmsnrt.rs/2yaDPgn

(Updates prices, changes comment)
By Rodrigo Campos
NEW YORK, Oct 28 (Reuters) - Stocks sank across the globe on
Wednesday on concerns that rising COVID-19 cases in Europe, the
United States and elsewhere will get in the way of fragile
economic recoveries, while the U.S. dollar rose on safe-haven
bids.
Benchmark Treasury yields fell alongside the price of oil
and gold was under pressure from the rising dollar.
On Wall Street, the energy and technology sectors of the S&P
500 were among the hardest hit.
"Whether you call it a continuation of the pandemic or a
third wave of new case discovery - it is the largest concern,"
said Art Hogan, chief market strategist at National Securities
in New York.
"Unless and until we get through this pandemic, it is hard
for investors to imagine a better economic time."
The Dow Jones Industrial Average .DJI fell 824.06 points,
or 3%, to 26,639.13, the S&P 500 .SPX lost 98.51 points, or
2.91%, to 3,292.17 and the Nasdaq Composite .IXIC dropped
334.78 points, or 2.93%, to 11,096.58.
European shares closed at their lowest since late May as
Germany and France prepared to announce restrictions approaching
the level of the nationwide lockdowns in the spring, as COVID-19
deaths across Europe jumped almost 40% in a week.
The pan-European STOXX 600 index .STOXX lost 2.95%,
touching its lowest level since May. MSCI's gauge of stocks
across the globe .MIWD00000PUS shed 2.53%.
Asian shares lost ground after initially showing some
resilience, in part due to more limited COVID-19 outbreaks and
better recoveries in the region's major economies.
Emerging market stocks lost 1.18%. MSCI's broadest index of
Asia-Pacific shares outside Japan .MIAPJ0000PUS closed 0.66%
lower, while Japan's Nikkei .N225 lost 0.29%.
Concerns over a rising wave of COVID-19 infections played
out in currency and bond markets, too, with the euro EUR=EBS
slumping against the dollar.
The dollar index =USD rose 0.291%, with the euro EUR=
down 0.37% to $1.1751.
The Japanese yen strengthened 0.15% versus the greenback to
104.29 per dollar, while sterling GBP= was last trading at
$1.2985, down 0.44% on the day.
Adding to the mood of uncertainty was the Nov. 3 U.S.
presidential election.
Former Vice President Joe Biden has enjoyed a consistent
lead in the polls over President Donald Trump. Investors
cautiously bet on his victory and a possible "blue wave"
outcome, where Democrats control both chambers of Congress.
UBS strategist Vassili Serebriakov said a Biden
administration would be seen as de-escalating trade tensions
with traditional allies such as Europe and Canada, as well as
China, which should improve market sentiment overall and weigh
on the dollar as a safe haven.
Treasury yields fell as traders moved away from risk assets.
Benchmark 10-year notes US10YT=RR last rose 2/32 in price
to yield 0.771%, from 0.778% late on Tuesday.
Escalating coronavirus infections weighed on oil prices by
stoking fears of a supply glut and weaker fuel demand. Also
weighing on the market, U.S. crude stockpiles rose more than
expected last week.
"Certainly the increase in oil production led to an
unexpected build of crude oil and, given the additional
lockdowns we are seeing in Europe, that is just further heaping
bad news on the oil market," said Andy Lipow, president of
consultants Lipow Oil Associates.
U.S. crude CLc1 recently fell 5.74% to $37.30 per barrel
and Brent LCOc1 was at $39.04, down 5.24% on the day.
Spot gold XAU= dropped 1.4% to $1,880.60 an ounce. Silver
XAG= fell 4.68% to $23.40.

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Global assets http://tmsnrt.rs/2jvdmXl
Global currencies vs. dollar http://tmsnrt.rs/2egbfVh
MSCI All Country Wolrd Index Market Cap http://tmsnrt.rs/2EmTD6j
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