* Graphic: Global asset performance http://tmsnrt.rs/2yaDPgn
* Graphic: World FX rates http://tmsnrt.rs/2egbfVh (Updates to afternoon, adds file photos available)
By Stephen Culp
NEW YORK, April 7 (Reuters) - U.S. stocks inched higher and Treasury yields regained some ground following release of the Federal Reserve's minutes, in which the central bank said that while showing signs of progress, the economic recovery remains far from complete.
All three major U.S. stock indexes gained some ground and the S&P 500 and the Dow were last in positive territory, with economically-sensitive small caps .RUT and transports .DJT lagging.
"The absence of any bad news has the market up some," said Peter Tuz, president of Chase Investment Counsel in Charlottesville, Virginia.
The U.S. Federal Reserve released the minutes from its most recent monetary policy meeting, in which the participants agreed that while the economy is improving, it remains well below the central bank's goals. They also stressed the importance of communicating progress well in advance of any potential taper. got the statement we were looking for," Tuz added.
"People are taking the Fed at its word that we're going to see low rates for a long time, and we'll get plenty of warning when the time comes (to raise rates)."
"The market got the statement it was looking for."
While recent data, particularly Friday's jobs report, suggest the U.S. economic recovery is gaining momentum, labor market progress remains well below the Fed's threshold for reining in its easy monetary policy. Dow Jones Industrial Average .DJI fell 14.82 points, or 0.04%, to 33,415.42, the S&P 500 .SPX gained 5.52 points, or 0.14%, to 4,079.46 and the Nasdaq Composite .IXIC added 10.73 points, or 0.08%, to 13,709.11.
European stocks inched lower, closing just below record highs, while optimism over speedy inoculations and the soft pound sterling powered the UK's exporter-laden FTSE 100's .FTSE 0.9% advance. pan-European STOXX 600 index .STOXX lost 0.22% and MSCI's gauge of stocks across the globe .MIWD00000PUS %.
Emerging market stocks lost 0.66%. MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS closed 0.64% lower, while Japan's Nikkei .N225 rose 0.12%.
U.S. Treasury yields were essentially unchanged on Wednesday, regaining some ground after the release of the Fed minutes. But longer-dated yields advanced.
Benchmark 10-year notes US10YT=RR last rose 1/32 in price to yield 1.6526%, down from 1.656% late on Tuesday.
The 30-year bond US30YT=RR last fell 13/32 in price to yield 2.3362%, up from 2.316% late on Tuesday.
The dollar was last nominally higher, but remained close to two-week lows against a basket of world currencies due to profit taking and weakened bond yields. dollar index .DXY rose 0.07%, with the euro EUR= down 0.03% to $1.1872.
The Japanese yen weakened 0.03% versus the greenback at 109.80 per dollar, while the British pound GBP= was last trading at $1.3736, down 0.63% on the day.
Crude oil prices pulled back gasoline stocks unexpectedly swelled, fanning worries over weak demand. crude CLcv1 settled at $59.77 per barrel, up 0.74%, while Brent LCOcv1 gained 0.67% to settle at $63.16 per barrel.
Gold prices dipped as economic optimism drew investors away from the safe-haven metal in favor of riskier assets. gold XAU= dropped 0.2% to $1,739.68 an ounce.
<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ Global assets
http://tmsnrt.rs/2jvdmXl Global currencies vs. dollar
http://tmsnrt.rs/2egbfVh Emerging markets
http://tmsnrt.rs/2ihRugV MSCI All Country World Index Market Cap
http://tmsnrt.rs/2EmTD6j How financial markets have performed over the last week
https://tmsnrt.rs/3cTyu42
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