* MSCI World index just off record high
* Dow, S&P 500 climb, Nasdaq dips
* Dollar lower for fifth straight session
(Updates to open of U.S. markets, changes dateline; previous
LONDON)
By Chuck Mikolajczak
NEW YORK, Nov 18 (Reuters) - A gauge of global shares gained
and was just shy of a record while the dollar moved off earlier
lows on Wednesday as further positive COVID-19 vaccine news
helped temper concerns about rising infection rates and related
economic damage.
On Wall Street, Pfizer PFE.N shares gained 2.14% after the
drugmaker said its COVID-19 vaccine was 95% effective and the
company would apply for emergency U.S. authorization within
days. Pfizer's announcement came on the heels of a similar report
from Moderna on the effectiveness of its vaccine. But the Dow showed a stronger move higher, as Boeing climbed
1.53% after the U.S. Federal Aviation Administration ended the
flight ban on the planemaker's 737 MAX jet.
A better than expected earnings report from Target TGT.N ,
up 1.5285%, also helped eased concerns about a slowing economy.
"With earnings announcements coming in better than expected
from the retail space and the positive news on Boeing, it should
drive interest in cyclicals," said Robert Pavlik, senior
portfolio manager at Dakota Wealth, New York.
"It is sort of a mad rush because the thinking is that the
economy is going to be in better shape six months to a year from
now."
A report on U.S. homebuilding showed the housing market
continues to be a bright spot even as other parts of the economy
are showing signs of strain from rising coronavirus cases.
Dow Jones Industrial Average .DJI rose 96.17 points,
or 0.32%, to 29,879.52, the S&P 500 .SPX gained 5.33 points,
or 0.15%, to 3,614.86 and the Nasdaq Composite .IXIC dropped
12.45 points, or 0.1%, to 11,886.89.
After a sluggish start, a round of takeover deals helped
offset concerns over fresh lockdown measures in the region.
The pan-European STOXX 600 index .STOXX rose 0.41% and
MSCI's gauge of stocks across the globe .MIWD00000PUS gained
0.19%.
While the U.S. dollar moved off its earlier lows following
the housing data, the greenback was still on pace for its fifth
straight decline as the Pfizer news gave investors an appetite
for some risk taking. The dollar index =USD fell 0.167%, with the euro EUR= up
0.06% to $1.1868.
The weaker dollar also helped lift sterling, along with
hopes Britain will be able to secure a post-Brexit trade deal
with the European Union before its departure from the EU's
customs union and single market in January. Sterling GBP= was
last trading at $1.3305, up 0.48% on the day. The increased risk appetite on the vaccine news also helped
oil prices advance, along with hopes OPEC and its allies will
delay a planned increase in oil output. Benchmark 10-year Treasury notes US10YT=RR last rose 2/32
in price to yield 0.8652%, from 0.872% late on Tuesday as
investors weighed the vaccine news against the ability of the
economy to rebound amid rising cases. U.S. crude CLc1 recently rose 0.82% to $41.77 per barrel
and Brent LCOc1 was at $44.27, up 1.19% on the day.
Safe haven gold XAU= , meanwhile, added 0.2% to $1,881.92
an ounce. U.S. gold futures GCc1 % to $1,884.50 an ounce.
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COVID-19 https://tmsnrt.rs/3lKwe14
COVID-19 Global Tracker COVID-19 Global Tracker https://tmsnrt.rs/2FkV6wq
U.S. retail sales https://tmsnrt.rs/2Uz7jkY
Housing starts https://tmsnrt.rs/35Hs98j
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