(Adds close of European markets)
* MSCI All-Country World Index up 0.3%
* China Q1 GDP grows record 18.3%
* Global asset performance http://tmsnrt.rs/2yaDPgn
* World FX rates http://tmsnrt.rs/2egbfVh
By Herbert Lash and Simon Jessop
NEW YORK/LONDON, April 16 (Reuters) - Gold prices edged up and global stocks scaled fresh highs on Friday after strong U.S. and Chinese economic data bolstered expectations of a solid global recovery from the coronavirus pandemic.
Government stimulus, strong corporate earnings from U.S. banks and in Europe, along with signs of economic recovery in countries leading the COVID-19 vaccination race have all helped push key stock market indexes to new heights this week.
MSCI's broadest gauge of world stocks .MIWD00000PUS rose 0.33%, lifted by surging European shares and less solid gains on Wall Street, where high-flying tech stocks took a breather from a rally that analysts say still has legs.
As long as the strong economic rebound, tremendous fiscal and monetary support and progress on vaccine distribution remain in place, markets can continue to grind higher, said Michael Arone, chief investment strategist at State Street (NYSE:STT) Global Advisors in Boston.
"The backdrop for stocks to continue higher is in place," Arone said. "Investors and market participants continue to underestimate both the economic and earnings recovery."
U.S. homebuilding surged to nearly a 15-year high in March, the Commerce Department said on Friday, adding to robust retail sales data the prior day, suggesting the economy was roaring. Europe, the pan-regional STOXX 600 index .STOXX closed up 0.90% at a new peak, while Germany's DAX .GDAXI gained 1.3% to hit an all-time high and the UK's FTSE 100 .FTSE rose 0.5% to close at more than one-year highs.
On Wall Street, the Dow Jones Industrial Average .DJI rose 0.25% and the S&P 500 .SPX gained 0.20%, both setting new highs. The Nasdaq Composite .IXIC eased 0.02%.
German car and truck maker Daimler DAIGn.DE rose 2.7% as higher vehicle prices and strong demand in China helped it post a better-than-expected surge in quarterly operating profit. the economic re-opening accelerates in the coming months, we believe the bull market remains on a solid footing," said Mark Haefele, chief investment officer, UBS Global Wealth Management.
Chinese data showing record 18.3% growth in the first quarter drove Asian shares higher, though the reading slightly undershot expectations. Retail sales bounced strongly last month. markets rallied overnight on the news. MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS rose 0.4% and Shanghai shares .SSEC added 0.8%. Japan's Nikkei .N225 edged up 0.1%.
"As the U.S. economy and then European economies open up, it should further help Asian exports. This should support emerging market and APAC equities as well as China equities and fixed income," said Sebastien Galy, senior macro strategist at Nordea Asset Management.
Gold prices rose to a seven-week high, on track for their best week since mid-December, as retreating U.S. Treasury yields and a softer dollar bolstered the metal's appeal.
Spot gold prices XAU= rose $13.75 to $1,776.96 an ounce.
The dollar slid to a 4-week low against a basket of currencies after the sharp drop in Treasury yields on Thursday, as investors increasingly accepted the Federal Reserve's vow to keep an accommodative policy stance for longer than expected.
The dollar index =USD fell 0.096%, with the euro EUR= up 0.1% to $1.1977. The Japanese yen weakened 0.04% versus the greenback at 108.80 per dollar.
The yield on U.S. 10-year Treasuries US10YT=RR rose to 1.5816%, pulling back from multi-week lows hit the prior session.
Oil was modestly lower on Friday after a week of gains built on strong economic figures from the United States and China that offset concerns about rising COVID-19 infections in other major economies.
Brent crude futures LCOc1 fell $0.12 to $66.82 a barrel. U.S. crude futures CLc1 were down $0.28 to $63.18 a barrel.
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http://tmsnrt.rs/2egbfVh Global asset performance
http://tmsnrt.rs/2yaDPgn
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