* European stocks down 0.2%, S&P futures up 0.25%
* Bitcoin down 10%, Ethereum down 7%
* Euro eyes 7-week high vs dollar, euro zone PMI upbeat
By Carolyn Cohn
LONDON, April 23 (Reuters) - Global shares steadied on Friday around 1% below record highs reached earlier this week, though Bitcoin hit its lowest in nearly seven weeks as investors assessed the impact of a possible U.S. capital gains tax hike.
President Joe Biden will roll out a plan to raise taxes on the wealthiest Americans, including the largest-ever increase in levies on investment gains, to fund about $1 trillion in childcare, universal pre-kindergarten education and paid leave for workers, sources familiar with the proposal said.
Biden's administration is seeking an increase in the capital gains tax to near 40% for wealthy individuals, almost double the current rate, the sources said. devil is always going to be in the detail," said Ned Rumpeltin, European head of currency strategy at TD Securities, adding that the Democrats' narrow majority could make the proposals hard to pass.
The Dow Jones Industrial Average .DJI ended down nearly 1% and European stocks .GDAX .FTSE dipped 0.2%, though S&P futures ESc1 gained 0.25% at 0814 GMT.
Bitcoin BTC=BTSP dropped below the $50,000 level to its lowest level in nearly seven weeks, down 7%. Ethereum ETH= slid more than 10% to $2,165 stocks .MIWO00000PUS edged up 0.1% but stuck below record highs close to 3,000 set on Monday.
MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS rose 0.65%, with Chinese blue-chip shares .CSI300 up 0.91%, supported by green and healthcare stocks. Japan's Nikkei stock index .N225 slid 0.57%.
"The move on the Dow overnight I think needs to be seen in the context that it's had a remarkable run up," said James McGlew, executive director of corporate stockbroking at Argonaut.
"I don't think people are completely negative on the fact that those tax changes are being flagged. Ultimately it's money that will feed back into the economy."
The euro zone economy will grow more slowly this year than earlier thought and a temporary gain in inflation is likely to exceed a previous projection, a European Central Bank survey showed on Friday, a day after the bank left policy unchanged. IHS Markit's flash Composite Purchasing Managers' Index, seen as a good guide to economic health, rose to a nine-month high of 53.7 in April, confounding expectations in a Reuters poll for a dip to 52.8. Anything above 50 indicates growth. euro EUR= rose 0.3% on the day to $1.2052 after dipping a day earlier, within sight of a seven-week high hit earlier this week.
The dollar was steady against the yen at 107.91 JPY= and the dollar index =USD , which tracks it against a basket of currencies of other major trading partners, fell 0.27%.
The yield on benchmark 10-year Treasury notes US10YT=RR was higher at 1.5613% after the capital gains tax reports pulled yields lower on Thursday. Germany's 10-year government bond yield DE10YT=RR , the benchmark of the euro area, was flat.
Oil prices rose, buoyed by hopes demand will recover as economic growth picks up and lockdowns ease. Worries about India's surging second wave of COVID-19 cases limited gains. O/R
U.S. crude CLc1 rose 0.38% to $61.81 a barrel and global benchmark Brent crude LCOc1 added 0.38% to $65.65 per barrel.
Spot gold XAU= dipped 0.1% to $1,782 per ounce but was still set for a weekly rise on soft Treasury yields and a subdued dollar. GOL/
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