GLOBAL MARKETS-Asian shares edge lower but stimulus, vaccine hopes provide support

* Asian stock markets: https://tmsnrt.rs/2zpUAr4
* Equities dip in choppy trade on profit-taking
* U.S. lawmakers renew attempt at stimulus bill
* Progress toward coronavirus vaccine boosts risk appetite

By Stanley White and Jessica DiNapoli
TOKYO/NEW YORK, Dec 2 (Reuters) - Asian shares shed early
gains from a strong Wall Street lead on Wednesday, as some
investors booked profits on a stellar run to record highs, but
hope for additional U.S. economic stimulus and a coronavirus
vaccine kept market sentiment well supported.
MSCI's broadest index of Asia-Pacific shares outside Japan
.MIAPJ0000PUS fell 0.06%, pulling back from last week's
all-time high. Australian stocks .AXJO erased early gains and
fell 0.38%.
Shares in China .CSI300 fell 0.22%. Tokyo stocks .N225
fell 0.17% after setting a new 29-year high. South Korean shares
.KS11 bucked the trend and rose 1.11% due to signs of an
increase in semiconductor demand. U.S. stock futures EScv1 declined 0.4% following a record
closing high for Wall Street shares.
Benchmark U.S. Treasury yields eased slightly but remained
near a three-week high as Republicans and Democrats submitted
proposals for economic stimulus in a bid to pass a bill some
time this month. Analysts say further downside for global equities is likely
limited, with major uncertainties surrounding the outlook now
fading.
"We've had some positive leads, and a combination of
optimism around the vaccine, and government and central bank
stimulus remains in place," said Michael McCarthy, chief markets
strategist at CMC Markets. "It's a sweet spot for markets."
MSCI's gauge of stocks across the globe .MIWD00000PUS rose
0.07% in Asia on Wednesday, edging toward an all-time high.
Pfizer Inc PFE.N and Germany's BioNTech SE BNTX.O sought
emergency approval of their vaccine candidate from the European
regulator on Tuesday. Competitor Moderna Inc MRNA.O also
applied for emergency approval from the European regulator on
Tuesday. Pfizer and BioNTech said their vaccine could be launched in
the European Union as early as this month, though a European
regulator clouded the schedule when it said it would complete
its review of their vaccine by Dec. 29. U.S. legislators also indicated progress on economic
stimulus. Top U.S. Senate Republican Mitch McConnell said on
Tuesday that Congress should include a new coronavirus stimulus
in a $1.4 trillion spending bill aimed at heading off a
government shutdown in the midst of a pandemic. The U.S. 10-year Treasury yield US10YT=RR stood at 0.91%
in Asia, not far from a three-week high of 0.9380% hit in the
previous session as investors priced in the likelihood of more
fiscal spending.
The spread between two-year and 10-year yields
US2US10=TWEB was also near its steepest in three weeks.
Higher yields did not support the dollar =USD , which was
mired near its lowest level in more than 2-1/2 years as investor
appetite for risk increased. Oil prices extended losses in Asian trading after OPEC and
its allies left markets in limbo by postponing a formal meeting
to decide whether to lift output in January.
Brent crude futures LCOc1 fell 0.53% to $47.16 per barrel,
while U.S. crude CLc1 fell 0.63% to $44.27 per barrel.
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