GLOBAL MARKETS-Asian shares boosted by vaccines hopes, Brexit deadline casts shadow

* Asian stocks underpinned by vaccine hopes
* Brexit deadline uncertainties cap gains, hurt sterling
* Oil extends gains as Brent rises above $50
* 2020 asset performance http://tmsnrt.rs/2yaDPgn

By Hideyuki Sano
TOKYO, Dec 11 (Reuters) - Asian shares bounced back on
Friday as progress on COVID-19 vaccines boosted investor
sentiment, but tricky Brexit negotiations and U.S. stimulus
talks capped gains in riskier assets.
MSCI's ex-Japan Asia-Pacific index .MIAPJ0000PUS rose
0.5%, on track for its sixth straight week of gains, while
Japan's Nikkei .N225 dropped 0.6%.
Investors bet on stronger economic growth next year as more
countries prepare for vaccinations. U.S. authorities voted
overwhelmingly to endorse emergency use of Pfizer's coronavirus
vaccine while doses of a COVID-19 vaccine made by China's
Sinovac Biotech SVA.O are rolling off a Brazilian production
line. But buying fizzled out in some markets as talks on U.S.
stimulus failed to make progress and after British Prime
Minister Boris Johnson said on Thursday there was "a strong
possibility" Britain and the EU would fail to strike a trade
deal. "With the Brexit deadline on Sunday, the market is curbed by
the uncertainties from it," said Takeo Kamai, head of execution
services at CLSA.
But he said appetite for recent initial public offerings
showed investors were generally upbeat on equity markets.
"When you look at the popularity of recent IPOs, it is clear
investors have positive bias."
Shares of Airbnb Inc ABNB.O more than doubled in their
stock market debut on Thursday, valuing the home rental firm at
just over $100 billion in the biggest U.S. initial public
offering (IPO) of 2020. Shares in delivery company DoorDash Inc
DASH.N doubled in their first day of trading. On Wall Street, the Dow Jones Industrial Average .DJI fell
0.23%, the S&P 500 .SPX lost 0.13% and the Nasdaq Composite
.IXIC added 0.54%.
U.S. stocks were mixed as near-term U.S. fiscal stimulus
appeared unlikely after Democrat House Speaker Nancy Pelosi
suggested wrangling over a spending package and coronavirus aid
could drag on through Christmas. "U.S. policymakers are still trying to hammer out a
coronavirus relief package," wrote Joseph Capurso, a strategist
with the Commonwealth Bank of Australia. "The U.S. economy needs
fiscal relief because lockdowns continue to spread. The
lockdowns are closing businesses and preventing spending."
The number of Americans filing first-time claims for
unemployment benefits increased more than expected last week as
mounting COVID-19 infections caused more business restrictions.
In the currency market, Brexit uncertainties overshadowed
trading in sterling. The British pound traded at $1.3307
GBP=D4 , flat on day but having lost 0.9% so far this week
against a generally weaker dollar.
The euro held not far from 2 1/2-year highs of $1.2154
EUR= after the European Central Bank delivered a fresh
stimulus package that was broadly in line with market
expectations on Thursday.
The ECB increased the overall size of its Pandemic Emergency
Purchase Programme (PEPP) by 500 billion euros to 1.85 trillion
euros and extended the scheme by nine months to March 2022.
The yen edged up 0.2% to 104.00 JPY= while the Australian
dollar extended its gains to $0.7557 AUD=D4 , its highest since
June 2018.
Oil prices climbed further, with Brent hitting levels not
seen since early March, as coronavirus vaccination rollouts
fuelled hopes that crude demand would pick up in 2021. O/R
Brent crude LCOc1 rose 0.7% to $50.61 per barrel while
U.S. West Texas Intermediate (WTI) crude CLc1 gained 0.9% to
$47.18 a barrel.

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2020 asset performance http://tmsnrt.rs/2yaDPgn
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