(Updates to U.S. open)
* MSCI world index down 0.5%
* Major U.S. indices open lower
* Dollar set to avoid 4-week losing streak
* Oil prices fall on lockdown fears
* Euro zone Q1 GDP falls less than expected
* Global asset performance https://tmsnrt.rs/33TWwY1
By Matt Scuffham and Carolyn Cohn
NEW YORK/LONDON, April 30 (Reuters) - World shares softened following Thursday's record peak on strong U.S. data and earnings, while the dollar was on course to narrowly avoid a fourth straight weekly decline.
MSCI's broadest gauge of world shares .MIWD00000PUS dipped but remained close to a record peak touched the previous day, and on track for its strongest month since November.
The index, which covers 50 markets, shed 0.49%.
The Dow Jones Industrial Average .DJI fell 123.28 points, or 0.36%, to 33,937.08, the S&P 500 lost 18.14 points, or 0.43%, to 4,193.33 and the Nasdaq Composite .IXIC dropped 60.54 points, or 0.43%, to 14,022.01.
Data on Thursday showed U.S. economic growth accelerated in the first quarter, fuelled by massive government aid to households and businesses. came against the backdrop of the Federal Reserve's reassurance on Wednesday that it was not time yet to begin discussing any change in its easy monetary policy. just over a half of S&P 500 companies reporting earnings, about 87% beat market expectations, according to Refinitiv, the highest level in recent years.
"The Federal Reserve continues to support, Biden has this huge stimulus programme as well and the earnings season continues -- so far we have seen relatively benign as well as strong earnings," said Eddie Cheng, head of international multi-asset portfolio management at Wells Fargo (NYSE:WFC) Asset Management.
For both the MSCI world index and the S&P500, analysts are expecting earnings in the next 12 months to recover to above pre-pandemic levels.
In Europe, the pan-European STOXX 600 index .STOXX rose 0.13%
Euro zone GDP data showed a year-on-year drop of 1.8% in the first quarter, stronger than expectations of a 2% fall, though economists said the bloc was on a recovery path. is increasingly bright light at the end of the tunnel," Commerzbank (DE:CBKG) analysts said.
"The speed of the vaccinations is picking up and the EU recovery fund is also finally getting off the ground."
New coronavirus infections in India surged to a fresh record, however, and France's health minister said the dangers of the Indian variant must not be underestimated. assets have had quite a few wobbles within the month," said Cheng.
"We need to get used to the fact that this is not going to be a straight line."
The euro EUR= extended its bull run to a two-month high of $1.2150 in the previous session before dropping 0.30% following the euro zone data.
"The euro is more sensitive to the European economic outlook, than to (what) happens in the U.S.", said Kit Juckes, head of FX strategy at Societe Generale (PA:SOGN).
The dollar index =USD , a measure of the greenback's value against a basket of major peers, rose 0.299%, leaving it set to end the week flat, although still down 2.56% for the month as a whole.
Oil prices fell on concerns about wider lockdowns in India and Brazil.
U.S. crude CLc1 recently fell 1.85% to $63.81 per barrel and Brent LCOc1 was at $67.40, down 1.69% on the day.
Spot gold XAU= dropped 0.1% to $1,770.15 an ounce. U.S. gold futures GCc1 gained 0.21% to $1,771.80 an ounce.
Mainland Chinese shares .CSI300 lost 0.8%, while Japan's Nikkei .N225 also shed 0.8% on position adjustments ahead of a long weekend. Both markets will be closed through Wednesday. World FX rates YTD
http://tmsnrt.rs/2egbfVh Asset performance in US dollar terms
https://tmsnrt.rs/33TWwY1 Euro zone economic growth and stocks
https://tmsnrt.rs/3e1Ejgi
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^> (Editing by Ana Nicolaci da Costa, Raju Gopalakrishnan, William Maclean; Editing by Toby Chopra and Frances Kerry)