(Updates to U.S. markets open, changes dateline from LONDON to NEW YORK, changes byline)
By Stephen Culp
NEW YORK, Oct 8 (Reuters) - U.S. and world stocks advanced and crude prices gained ground on Thursday in anticipation of further progress in stimulus negotiations.
Reports that U.S. House Speaker Nancy Pelosi and the White House could hammer out a $25-billion rescue package for commercial airlines boosted that sector and fueled hopes that broader pandemic relief could be forthcoming, if only incrementally.
This sentiment was echoed by President Donald Trump, who urged Congress to pass money for airlines, small businesses, and relief checks for individuals after abruptly calling off negotiations. global markets continue to follow each other almost on a daily basis," said Peter Cardillo, chief market economist at Spartan Capital Securities in New York.
"While we have moments of volatility as political rhetoric heats up ahead of the election, the market's overall sentiment is positive," Cardillo added. "The market has already priced in a change of guard at the White House."
Democratic nominee Joe Biden has been advancing in the polls ahead of the Nov. 3 election, now less than a month away. U.S. Labor Department reported jobless claims, while edging lower last week, remain stubbornly high and well above the highest numbers at the nadir of the Great Recession.
"There's no change in the (jobless claims) trend and nothing to suggest that the unemployment problem is going to dissipate any time soon," Cardillo said.
The Dow Jones Industrial Average .DJI rose 100.78 points, or 0.36%, to 28,404.24, the S&P 500 .SPX gained 21.45 points, or 0.63%, to 3,440.9 and the Nasdaq Composite .IXIC added 58.15 points, or 0.51%, to 11,422.75.
European stocks joined the world rally in anticipation of movement in coronavirus aid negotiations. pan-European STOXX 600 index .STOXX rose 0.99% and MSCI's gauge of stocks across the globe .MIWD00000PUS gained 0.71%.
Emerging market stocks rose 0.78%. MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS closed 0.78% higher, while Japan's Nikkei .N225 rose 0.96%.
Treasury prices firmed and the yield curve flatted a bit amid persistent pandemic relief uncertainties and weaker-than-expected economic data. 10-year notes US10YT=RR last rose 5/32 in price to yield 0.7685%, from 0.785% late on Wednesday.
The 30-year bond US30YT=RR last rose 17/32 in price to yield 1.5656%, from 1.589% late on Wednesday.
Crude prices topped $43 per barrel as output shutdowns related hurricanes in the Gulf of Mexico and an ongoing oil worker strike in Norway pressured supply. crude CLcv1 rose 2.08% to $40.78 per barrel and Brent LCOcv1 was last at $42.84 per barrel, up 2.02% on the day.
The dollar edged higher against a basket of world currencies as investors awaited further news on stimulus talks. dollar index .DXY rose 0.05%, with the euro EUR= down 0.07% to $1.1752.
The Japanese yen weakened 0.04% versus the greenback at 106.03 per dollar, while Sterling GBP= was last trading at $1.2929, up 0.09% on the day.
Market optimism also lifted gold. gold XAU= added 0.1% to $1,888.96 an ounce.
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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 Stocks versus COVID
https://tmsnrt.rs/2GCoYoa
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