GLOBAL MARKETS-Asian shares shake off U.S. tax fears; cryptocurrencies slump

* MSCI Asia ex-Japan +0.43%, Nikkei 225 -0.57%
* China blue chips lead gains; CSI300 +0.51%
* Cryptocurrencies plunge on U.S. tax fears
* European shares seen opening
* Asian stock markets: https://tmsnrt.rs/2zpUAr4

By Andrew Galbraith
SHANGHAI, April 23 (Reuters) - Asian shares advanced on
Friday, lifted by rising Chinese blue-chips and a decision by
the European Central Bank to maintain stimulus, while investors
largely shrugged off the impact of a possible U.S. capital gains
tax hike.
But equity markets in Europe were set to open lower after
two days of gains. In early European trades, pan-region Euro
Stoxx 50 futures STXEc1 were down 0.25%, German DAX futures
FDXc1 slipped 0.35% and FTSE futures FFIc1 shed 0.43%.
Modest moves in equities markets contrasted with ructions in
cryptocurrencies as investors fretted over the impact of tax
changes.
Bitcoin's BTC=BTSP rout deepened, dropping below the
$50,000 level to a low of $48,338.37, its lowest level in nearly
seven week. Ethereum ETH= plunged nearly 12% before trimming
losses, and last hovered just below $2,200, down more than 8.5%
on the day. The ECB's decision to leave policy on hold came despite its
prediction of a strong rebound in the euro zone economy from
mid-year as COVID-19 infections are brought under control.
"There were a couple of subtle acknowledgements today that
an upgrade to forecasts is likely coming at the June 10
meeting," said Ray Attrill, head of FX strategy at National
Australia Bank. "Lagarde did highlight the pick-up in
vaccinations and noted high frequency data are confirming to ECB
staff that their previous view of an improvement in the
medium-term (is) on course."
In a hit to stock market sentiment overnight, the
administration of U.S. President Joe Biden was reported to be
seeking an increase in the capital gains tax to near 40% for
wealthy individuals, almost double the current rate. The Dow
Jones Industrial Average .DJI ended down 0.94%.
"The move on the Dow overnight I think needs to be seen in
the context that its had a remarkable run up," said James
McGlew, executive director of corporate stockbroking at
Argonaut. "I don't think people are completely negative on the
fact that those tax changes are being flagged. Ultimately it's
money that will feed back into the economy."
In Asia on Friday MSCI's broadest index of Asia-Pacific
shares outside Japan .MIAPJ0000PUS shook off early small
losses to rise 0.43%.
Chinese blue-chip shares .CSI300 rose 0.51%, supported by
green and healthcare stocks. Hong Kong's Hang Seng .HSI rose
0.54% and Seoul's KOSPI .KS11 added 0.2%.
Japan's Nikkei stock index .N225 slid 0.57%.
In the currency market, the euro EUR= edged up less than
0.1% on the day to $1.2029 after dipping a day earlier. The
dollar was slightly lower against the yen at 107.92 JPY= and
the dollar index, which tracks the greenback against a basket of
currencies of other major trading partners, fell 0.11% to
91.188. =USD
The yield on benchmark 10-year Treasury notes US10YT=RR
was slightly higher at 1.5613% after the capital gains tax
reports pulled yields lower on Thursday.
U.S. crude CLc1 rose 0.73% to $61.88 a barrel and global
benchmark Brent crude LCOc1 added 0.54% to $65.75 per barrel
as investors looked for an economic recovery to drive fuel
demand in the United States and Europe.
Spot gold XAU= was flat at around $1,784 per ounce, but
was still set for a weekly rise on soft Treasury yields and a
subdued dollar. GOL/

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(Editing by Richard Pullin and Jacqueline Wong)