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GLOBAL MARKETS-Stocks up after tax scare; oil gains

Published 23/04/2021, 17:36
© Reuters.
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* S&P 500 recoups all of Thursday's loss
* Dollar on track for weekly loss

(Updates prices, changes comment, dateline; previous LONDON)
By Rodrigo Campos
NEW YORK, April 23 (Reuters) - Stocks rose on Friday as Wall
Street's drop the previous day on talk of an increase in U.S.
capital gains taxes reversed, but a global stocks index was on
track to post its first negative week in five.
Oil prices rose but were also negative for the week, while
strong data lifted the euro and the dollar index fell as strong
U.S. data took away from the safety bids.
Stocks rose nearly 1% on Wall Street a day after reports of
a Biden Administration push to raise taxes on capital gains gave
indexes a shakedown. The proposed numbers had been public since
the presidential campaign.
"Yesterday was a knee-jerk reaction to the proposal. Right
now, there's nothing definitive on the part of administration,"
said Robert Pavlik, senior portfolio manager at Dakota Wealth.
The Dow Jones Industrial Average .DJI rose 213.68 points,
or 0.63%, to 34,029.58, the S&P 500 .SPX gained 43.36 points,
or 1.05%, to 4,178.34 and the Nasdaq Composite .IXIC added
186.11 points, or 1.35%, to 14,004.52.
The pan-European STOXX 600 index .STOXX lost 0.13% and
MSCI's gauge of stocks across the globe .MIWD00000PUS gained
0.76%.
Emerging market stocks rose 0.84%. MSCI's broadest index of
Asia-Pacific shares outside Japan .MIAPJ0000PUS closed 0.83%
higher, while Japan's Nikkei .N225 lost 0.57%.
IHS Markit's flash factory PMI for the United States hit
60.6 in the first half of the month, the highest reading on
record back to 2007. In the euro zone, the Composite PMI rose to
a nine-month high of 53.7, higher than anticipated. Anything
above 50 indicates expansion.
Oil prices edged up with support from the economic data but
concerns over demand from India and Japan lingered, putting a
check on gains.
"Stronger PMIs across Europe, a weaker U.S. dollar, and some
European countries planning to ease some of their restrictions
are slightly supporting oil prices," UBS oil analyst Giovanni
Staunovo said.
"Oil demand concerns in India due to rising COVID cases are
capping the upside."
The euro rose after the strong data, up 0.45% to $1.2069.
The dollar index =USD fell 0.303%, with Sterling GBP=
last trading at $1.3849, up 0.09% on the day. The Japanese yen
weakened 0.02% versus the greenback at 107.96 per dollar.
Benchmark 10-year notes US10YT=RR last fell 2/32 in price
to yield 1.563%, from 1.556% late on Thursday.
Spot gold XAU= dropped 0.4% to $1,776.25 an ounce. Silver
XAG= fell 0.76% to $25.97.
Bitcoin BTC=BTSP last fell 3.53% to $49,857.18.



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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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