GLOBAL MARKETS-World shares hold close to record highs; U.S. markets close for Thanksgiving

* Graphic: 2020 asset performance http://tmsnrt.rs/2yaDPgn
* Graphic: World FX rates in 2020 http://tmsnrt.rs/2egbfVh
* Reuters Live Markets blog: LIVE/

(Updates prices, adds commentary)
By Elizabeth Howcroft
LONDON, Nov 26 (Reuters) - Global stocks held near record
highs on Thursday, while the rally in European stocks paused, as
recent vaccine progress, Joe Biden's U.S. presidential election
win and hopes for further stimulus kept markets bullish.
World equities are having their best month on record in
November, boosted by a slew of positive vaccine announcements
and hopes that Biden's administration will deliver more economic
stimulus and political stability.
The MSCI world equity index, which tracks shares in 49
countries, rose to a record high on Wednesday and held close to
it on Thursday, up 0.1% on the day at 1142 GMT .MIWD00000PUS ,
as markets shrugged off the latest rise in U.S. jobless claims.
Europe's STOXX 600, which is also having its best month on
record, up 14.4% in November, was down 0.1% on the day .STOXX .
"The market's very much looking forward to 2021 and the time
when vaccines will be rolled out and economic activity can get
back to normal," said Kiran Ganesh, a multi-asset strategist at
UBS.
Ganesh said that the equities rally is "particularly driven
by the rotation trade away from large caps and towards small
caps, away from the U.S. and towards Europe, and away from
technology and towards some of the cyclicals."
Markets also took a boost from minutes from the U.S. Federal
Reserve's Nov. 4-5 meeting, which showed that officials
discussed how the central bank's asset purchases could be
adjusted to provide additional support to the economy.
The minutes said policymakers may give new guidance about
its bond-buying "fairly soon". "2021 is going to be a year of economic catch-up," said Samy
Chaar, chief economist at Lombard Odier. "When you keep the
pandemic contained and under control, economic activity catches
up very quick."
The U.S. dollar slipped overnight, then recovered during the
European session. Versus a basket of currencies, it was flat on
the day at 92.056 at 1153 GMT, having touched its lowest in
nearly three months in early London trading =USD .
It also lost out versus the safe-haven Japanese yen, down
0.2% on the day at 104.24 at 1154 GMT JPY=EBS .
U.S. markets were closed for Thanksgiving on Thursday. Biden
urged Americans to avoid big family gatherings and to wear
protective masks and maintain social distancing as COVID-19
cases soar. In France and Germany, consumer confidence plunged in
November under new lockdown restrictions, challenging the idea
of a quick return to normal in the euro zone's two biggest
economies. German Chancellor Angela Merkel told parliament that
lockdown measures will be in place until at least the end of
December and possibly longer. The euro was down 0.1% against the dollar, at $1.1902 at
1159 GMT EUR=EBS . Euro-sterling was up 0.2% at 89.12
EURGBP=D3 .
UK investors were watching trade talks between Britain and
the European Union, with little more than a month until the
status-quo transition period ends on Dec. 31.
Britain's finance minister said on Thursday that "it's clear
what the shape of the deal looks like" but that the United
Kingdom would not sign a deal at any cost. The UK announced this week new restrictions on activity that
will apply after the month-long lockdown ends on Dec. 2.
London's FTSE 100 was down 0.5% .FTSE .
Euro zone government bonds were little changed, with
Germany's benchmark Bund yield at -0.576%
DE10YT=RR . Oil prices slipped, stalling a rally which saw futures hit
their highest in nearly eight months on Wednesday.
Gold prices picked up as investors bet that the grim U.S.
economic data would lead to further stimulus. <^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
Emerging markets http://tmsnrt.rs/2ihRugV
G3 central bank balance sheets https://tmsnrt.rs/3nYwB8G
Emerging market stocks' November to remember https://tmsnrt.rs/33lYqQq
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