GLOBAL MARKETS-Stocks gain as China says fewer new coronavirus cases

(Adds oil, gold settlement prices)
* World stocks, Wall Street indexes hit new highs
* Oil prices extend rebound from 13-month lows
* Safe-haven assets slip

By Herbert Lash
NEW YORK, Feb 12 (Reuters) - Global equity markets scaled
fresh highs on Wednesday after China reported the lowest number
of new coronavirus cases in two weeks, boosting hopes the
epidemic will be contained and driving up the price of
commodities sensitive to Chinese demand.
China confirmed 2,015 new cases of the deadly virus, the
lowest daily increase since Jan. 30 as the total rose to 44,653.
The report eased financial market concerns about the potential
impact on both the Chinese and global economies. The dollar hit a more than two-year high against the euro as
investors poured money into U.S. stocks, even as Dale Fisher, a
global expert associated with the World Health Organization,
warned that the virus' toll was just beginning outside China.
Crude oil prices surged on the slowing rate of infection,
spurring hopes that demand in the world's second-largest oil
consumption market may begin to recover.
Copper climbed on the belief that China, the biggest metals
consumer, faces a short but sharper economic shock than first
thought. How harsh the impact will be varies widely.
U.S. Treasury Secretary Steven Mnuchin said the economic
impact from the coronavirus outbreak is a one-time event that
will not last beyond 2020. Markets are clearly encouraged by the moderating trajectory
of new and suspected cases of the virus, as well as the
continued support of Federal Reserve monetary policy, said David
Joy, chief market strategist at Ameriprise Financial.
Renewed enthusiasm among investors also is being driven by
corporate earnings growth and a global economic recovery that
was becoming evident before the coronavirus outbreak, he said.
However, investor enthusiasm may be tested once economic
data from late January and February begins to roll in, Joy said.
"By a number of measures, valuations are quite extended,
making this rally something of a leap of faith," he said. "I
would not argue with anyone wishing to bank some of their
profits."
Stock indexes around the world hit new highs, including the
three major Wall Street gauges, MSCI's world index, the
pan-European STOXX 600, Germany's DAX, the S&P/TSX in Canada and
the S&P/NZX 50 in New Zealand.
MSCI's gauge of stocks across the globe .MIWD00000PUS
gained 0.50% and emerging market stocks rose 0.92%.
The pan-European STOXX 600 index .STOXX rose 0.63% and the
DAX .GDAXI rose 0.77%.
On Wall Street, the Dow Jones Industrial Average .DJI rose
230.94 points, or 0.79%, to 29,507.28. The S&P 500 .SPX gained
18.1 points, or 0.54%, to 3,375.85 and the Nasdaq Composite
.IXIC added 68.84 points, or 0.71%, to 9,707.78.
North Sea Brent crude, the global benchmark, rose more than
3%.
Brent crude LCOc1 added $1.78 to settle at $55.79 a barrel
while West Texas Intermediate, the U.S. benchmark, CLc1 rose
$1.23 to settle at $51.17 a barrel.
Gold prices traded little changed after touching a one-week
low as risk sentiment improved.
U.S. gold futures GCv1 settled 0.1% higher at $1,571.60 an
ounce.
Overnight in Asia, mainland Chinese and Hong Kong shares
rose almost 1% .CSI300 . The offshore-traded yuan reached
two-week highs CNH=D3 . The Thai baht, Korean won and Taiwanese
dollar, reliant on Chinese tourism and trade, gained 0.3% to
0.5% THB= KRW= TWD= .
The dollar index .DXY rose 0.32%, with the euro EUR=
down 0.4% to $1.087. The Japanese yen .JPY= weakened 0.26%
versus the greenback at 110.10 per dollar.
Benchmark 10-year U.S. Treasury notes US10YT=RR fell 13/32
in price to yield 1.6333%.