GLOBAL MARKETS-Asia stocks slip as coronavirus cases surge

* Asian stock markets : https://tmsnrt.rs/2zpUAr4
* Nikkei down 1.5%, Asia ex-Japan eases off four-month top
* Deaths from COVID-19 reached half a million on Sunday
* Dollar, bonds supported on safe haven appeal

By Wayne Cole
SYDNEY, June 29 (Reuters) - Asian share markets got off to a
shaky start on Monday as the relentless spread of the
coronavirus finally made investors question their optimism on
the global economy, benefiting safe harbour bonds and the U.S.
dollar.
MSCI's broadest index of Asia-Pacific shares outside Japan
.MIAPJ0000PUS eased 0.2% and further away from a four-month
top hit last week.
Japan's Nikkei .N225 shed 1.5% and South Korean stocks
.KS11 1.4%. E-Mini futures for the S&P 500 ESc1 lost 0.3%.
Wall Street had faltered on Friday as some U.S. States
reconsidered their reopening plans. The global death toll from
COVID-19 reached half a million people on Sunday, according to a
Reuters tally. About one-quarter of all the deaths so far have been in the
United States, with cases surging in a handful of southern and
western states that reopened earlier.
"The increase in U.S. COVID-19 infection rates has dented
momentum across markets despite the improvements in the global
economy, which continues to beat most data expectations," wrote
analysts at JPMorgan in a note.
"Our strategists remain sanguine and recommend to buy on
dips but also selectivity," they added. "Traditional hedges like
JPY vs USD, USD vs EM FX, Gold and quality stocks are still
outperforming this month. We stay overweight U.S. equities but
move EM equities to neutral and stay neutral U.S. credit."
Sovereign bonds benefited from the shift to safety with
yields on U.S. 10-year notes US10YT=RR falling to 0.63%,
having briefly been as high as 0.96% early in June.
The U.S. dollar went the opposite direction, rising to
97.461 against a basket of currencies =USD from a trough of
95.714 earlier in the month.
It was a shade higher on the yen at 107.20 JPY= on Monday,
but well within the recent range of 106.06 to 107.63. The euro
stood at $1.1222 EUR= having found solid support around
$1.1167. USD/
It is an important week for U.S. data with the ISM
manufacturing index on Wednesday and payrolls on Thursday, ahead
of the Independence Day holiday. Federal Reserve Chair Jerome
Powell is also testifying on Tuesday.
In commodity markets, gold held near its highest since early
2012 at $1,771 an ounce XAU= . GOL/
Oil prices slipped amid concerns the pandemic would slow the
reopening of some economies and thus hurt demand for fuel. O/R
Brent crude LCOc1 futures fell 62 cents to $40.40 a
barrel, while U.S. crude CLc1 lost 60 cents to $37.89.

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(Editing by Sam Holmes)