* S&P 500, Dow end lower; Nasdaq gains
* ECB expands and extends emergency COVID stimulus
* Brent futures climb above $50 a barrel
(New throughout, updates prices, market activity and comments
to U.S. close)
By Caroline Valetkevitch
NEW YORK, Dec 10 (Reuters) - The euro rose on Thursday as
the European Central Bank rolled out yet more stimulus measures
to lift the currency bloc out of a double-dip recession, while
the S&P 500 ended slightly lower following an increase in weekly
U.S. jobless claims.
Energy shares were sharply higher, with oil prices climbing
nearly 3% and Brent rising above $50 a barrel for the first time
since early March, fueled by hopes of a faster demand recovery.
The ECB expanded its debt purchase scheme and agreed to
provide banks with even more ultra-cheap liquidity as long as
they keep passing the cash onto companies. It said it is
monitoring the euro's exchange rate with regard to its possible
implications for the medium-term inflation outlook. Strategists said the level of the measures may ensure that
current monetary accommodation will be extended well into 2022.
Sterling weakened as investors became more cautious about
the risk of a no-deal Brexit. The euro was EUR= up 0.49% to $1.214, while sterling
GBP= was last trading at $1.3295, down 0.75% on the day.
On Wall Street, the S&P 500 and Dow ended lower as the jump
in jobless claims pointed to a stalling labor market recovery,
though focus remained on stimulus talks. A U.S. Senate vote on a stopgap measure to keep the
government running could slip to the Friday deadline, as a top
Democrat suggested wrangling over a spending package and
coronavirus aid could drag on through Christmas. "We are in a bit of a trough, we've hit a valley right now
and it's all based on accelerating through this," said Phil
Blancato, CEO of Ladenburg Thalmann Asset Management in New
York.
"We need that announcement, without that announcement we are
going to have volatility through the end of the year, without a
doubt."
The Dow Jones Industrial Average .DJI fell 69.55 points,
or 0.23%, to 29,999.26, the S&P 500 .SPX lost 4.72 points, or
0.13%, to 3,668.1 and the Nasdaq Composite .IXIC added 66.86
points, or 0.54%, to 12,405.81.
The pan-European STOXX 600 index .STOXX lost 0.44% and
MSCI's gauge of stocks across the globe .MIWD00000PUS gained
0.03%.
In the bond market, strong demand for the $24 billion in
30-year U.S. Treasury bonds on auction drove longer-dated yields
lower and the yield curve flatter. The 30-year yield US30YT=RR fell to session lows after the
auction and was last down 5.3 basis points to 1.636%. The
benchmark 10-year yield US10YT=RR fell 3.3 basis points to
0.908%.
Brent crude LCOc1 rose $1.39, or 2.8%, to settle at $50.25
a barrel, gaining for a third day. U.S. West Texas Intermediate
(WTI) crude CLc1 gained $1.26, or 2.8%, to settle at $46.78.
Spot gold prices XAU= were slightly lower.
($1 = 0.8255 euros)
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Global assets http://tmsnrt.rs/2jvdmXl
Global currencies vs. dollar http://tmsnrt.rs/2egbfVh
Emerging markets http://tmsnrt.rs/2ihRugV
MSCI All Country Wolrd Index Market Cap http://tmsnrt.rs/2EmTD6j
Rebound of major world markets https://tmsnrt.rs/370lXbY
ECB to rein in euro? https://tmsnrt.rs/2I7c2b3
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