GLOBAL MARKETS-Stocks dip on U.S. jobs data, oil climbs further

* MSCI's all-country world index hits fresh record before
slipping
* 2020 asset performance http://tmsnrt.rs/2yaDPgn
* Global stock market outlook: https://tmsnrt.rs/3nT0J5r

(Updates prices, changes comment, dateline; previous London)
By Rodrigo Campos
NEW YORK, Nov 25 (Reuters - Stocks edged back from record
highs on Wednesday as Wall Street bumped up against
underwhelming economic data, while oil continued to rise and the
dollar weakened ahead of comments from the Federal Reserve.
The U.S. dollar has lost some of its safe-haven luster as
traders turn to riskier assets, including some funded in other
currencies, following positive news about a COVID-19 vaccine and
a seemingly normalizing U.S. transition of power.
Former Fed Chair Janet Yellen's reported nomination to
Treasury Secretary has emboldened those risk bets and further
weighed on the dollar.
"From here, the Fed will prove a mere auxiliary to maximize
fiscal impact by ensuring cheap funding," said John Hardy, head
of FX strategy at Saxo Bank.
"The long-term implications of the Yellen nomination are
distinctly dollar negative."
Minutes from the most recent Fed meeting are due later in
the session.
The dollar index =USD fell 0.076%, with the euro EUR= up
0.14% to $1.1905.
The Japanese yen strengthened 0.13% versus the greenback to
104.31 per dollar, while sterling GBP= was last trading at
$1.3363, up 0.05% on the day.
On Wall Street, a surprise jump in weekly jobless claims
added to signs the recovery in the labor market was stalling as
the United States battled a new wave of COVID-19 infections.
MSCI's broadest gauge of world stocks .MIWD00000PUS was
last trading down 0.12%, after renewed demand for shares earlier
pushed it to a record high of 622.12.
The rally in global stocks is set to continue for at least
six months, a Reuters poll forecast on Wednesday. But on Wednesday the Dow Jones Industrial Average .DJI
fell 141.76 points, or 0.47%, to 29,904.48, the S&P 500 .SPX
lost 11.17 points, or 0.31%, to 3,624.24 and the Nasdaq
Composite .IXIC added 3.45 points, or 0.03%, to 12,040.23.
"The question is, who wins the battle: the vaccines, or the
rising cases in the short term?" said Christopher C. Grisanti,
chief equity strategist at MAI Capital Management.
Optimism around vaccine developments and expectations of a
recovery in corporate confidence and profitability should also
push European stocks to near record highs next year, a separate
Reuters survey found. On Wednesday the pan-European STOXX 600 index .STOXX lost
0.09% while Japan's Nikkei .N225 rose 0.50% after touching a
29-year high. MSCI's broadest index of Asia-Pacific shares outside Japan
.MIAPJ0000PUS closed 0.59% lower, with Chinese shares capped
by worries about rising debt defaults. The job market data weighed on Treasury yields.
Benchmark 10-year notes US10YT=RR last rose 7/32 in price
to yield 0.8586%, from 0.882% late on Tuesday.
Oil continued to rise beyond pre-pandemic levels on bets for
a speedy recovery in energy demand.
"Crude oil prices are trading at their highest levels since
early March, supported by positive market sentiment as a result
of vaccine news and strong oil demand in Asia," said UBS oil
analyst Giovanni Staunovo.
"We maintain our bullish outlook for next year and target
Brent to hit $60 per barrel at the end of 2021," he added.
U.S. financial markets will be closed on Thursday for the
Thanksgiving holiday.

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World FX rates in 2020 http://tmsnrt.rs/2egbfVh
2020 asset performance http://tmsnrt.rs/2yaDPgn
Global markets enjoying November reign https://tmsnrt.rs/2J7DYvR
Reuters Poll - Global stock market outlook https://tmsnrt.rs/3nT0J5r
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