* MSCI's all-country world index hits new record high
* Oil prices at 2-1/2-year highs on supply fear
* Dollar falls on weak U.S. data and inflation outlook
(Adds oil, gold settlement prices, Fed minutes)
By Herbert Lash
NEW YORK, Nov 22 (Reuters) - A gauge of global equity
performance scaled fresh record highs on Wednesday, propelled by
bullish growth and company earnings outlooks, while crude oil
prices rose to more than two-year highs.
Asia again led global stock markets higher as Hong Kong's
main Hang Seng index closed above 30,000 for the first
time in a decade. China's H-shares index
and Japan's Nikkei share average also rose.
Shares in Europe were mixed, with Britain's main index
rising fractionally as Germany's benchmark DAX
index and other indexes fell. The pan-European FTSEurofirst 300
index of leading regional shares closed down 0.25
But MSCI's all-country world index of stock
performance in 47 countries rose 0.33 percent as it set a new
all-time high driven by investor enthusiasm for tech stocks.
Amazon.com, Apple and Verizon
pushed the global benchmark higher.
Emerging markets also rose, with MSCI's main equity
benchmark climbing 0.67 percent to set a fresh six-year high
Wall Street traded flat to slightly lower as trading volumes
were subdued before Thursday’s U.S. Thanksgiving holiday.
The Dow Jones Industrial Average fell 52.67 points,
or 0.22 percent, to 23,538.16. The S&P 500 lost 0.44
point, or 0.02 percent, to 2,598.59 and the Nasdaq Composite
added 10.36 points, or 0.15 percent, to 6,872.84.
The S&P technology index fell 0.31 percent after
two days of gains, pulled lower by an 6.91-percent drop in
Hewlett Packard Enterprise after Meg Whitman said she
would leave as chief executive in February.
The decision by Whitman, a high-profile U.S. executive, took
Wall Street by surprise but the tech-heavy Nasdaq still edged
The U.S. equity market is poised for "smooth sailing"
through year-end even as the ebullient mood on Wall Street
signals trouble later in 2018, said Doug Ramsey, chief
investment officer at The Leuthold Group LLC in Minneapolis.
However, the broad equity advance, with few lagging sectors,
suggests the bull market still has room to run, Ramsey said.
"The odds that we'll be at higher highs three to four months
from now are very high, though it doesn't rule some short-term
setback," he said. "I have never seen a major bull market top
that looks like anything where we stand today, even compared to
Oil retreated slightly from a more than two-year high after
U.S. crude stockpiles fell less than an industry group had
suggested on Tuesday.
Still, U.S. crude prices remained elevated near $58 a barrel
after sources familiar with the matter said the Keystone
pipeline will cut deliveries by 85 percent or more through the
end of November.
U.S. crude rose $1.19 percent to settle at $58.02 a
barrel. Brent settled up 75 cents at $63.32.
The dollar fell, touching its lowest in more than a month
against the Japanese yen and the Swiss franc, after the release
of weaker-than-expected U.S. data and inflation expectations.
New orders for U.S.-made capital goods unexpectedly fell in
October after three straight months of strong gains and a
measure of goods orders that strips out volatile components had
its biggest drop since September 2016.
The dollar fell to 111.62 yen, its lowest since Sept.
26. Against the Swiss franc, the dollar fell to its
lowest since Oct. 20, hitting 0.9827 franc.
The euro rose to a session high against the dollar of
The University of Michigan's consumer sentiment report
showed a decline in expectations for long-term inflation.
U.S. Treasury prices gained after the minutes from the
Federal Reserve's latest meeting affirmed market expectations
that the U.S. central bank will hike interest rates in December.
However, some voting policymakers expressed concern over the
inflation outlook, according to the minutes. These policymakers
said they would be looking at upcoming economic data before
deciding the timing of future rate rises.
Benchmark 10-year notes last rose 10/32 in price
to yield 2.3240 percent.
U.S. gold futures for December delivery settled up
$10.50 an ounce at $1,292.20 per ounce.
(Reporting by Herbert Lash; Editing by Nick Zieminski and James
First Published: 2017-11-22 02:48:14
Updated 2017-11-22 22:16:47
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