(Adds close of U.S. markets)
* S&P 500, Nasdaq set all-time peaks
* Apple shares cross $500, Alibaba at record high
* Dollar gains on optimism over COVID-19 treatments
* Gulf of Mexico storms lift crude oil futures
* Graphic: World FX rates in 2020 https://tmsnrt.rs/2RBWI5E
By Herbert Lash
NEW YORK, Aug 24 (Reuters) - A gauge of global equity
markets raced toward a record high on Monday in a rally that
lifted the S&P 500 and Nasdaq to all-time peaks and buoyed the
dollar as hopes for coronavirus treatments bolstered risk
appetite.
U.S. regulators on Sunday authorized the use of blood plasma
from recovered COVID-19 patients as a treatment option. Shares
of AstraZeneca rose on a Financial Times report that the U.S.
government was considering fast-tracking its experimental
vaccine.
The U.S. Food and Drug Administration's move to give
emergency authorization for the use of anti-body rich plasma was
hailed by President Donald Trump. It came a day after he accused
the FDA of impeding the roll-out of treatments until after the
Nov. 3 presidential election.
The World Health Organization was cautious about endorsing
the use of the plasma to treat those who are ill, saying
evidence that it works remains "low quality."
The announcement came on the eve of the Republican National
Convention. Trump on Monday received enough votes to formally
win the nomination as the Republican candidate for the
presidency for another four years.
Progress in treatments or an effective vaccine to gain
control of the virus would aid Trump's re-election chances.
Craig Erlam, senior market analyst at OANDA in London, said
that while it was a highly political move on Trump's part,
"everyone wants to be the first to market, everyone wants to get
the economy back on track and slow down the death rate."
"When you add it all up, it's positive COVID news for the
market," he said.
Equity markets worldwide rose on the vaccine hopes. Europe's
broad FTSEurofirst 300 index closed up 1.62% at
1,439.54, while MSCI's all-country world index
rose 1.06% to 577.02 after overnight gains in Asia.
The benchmark for global equity markets is less than 1%
from scaling its all-time peak reached in February.
AstraZeneca rose 2.1%, providing the FTSE 100
index in London its biggest boost.
Shares of Apple Inc rose 1.3% to cross $500 for the
first time, while Chinese retailer Alibaba's U.S.-listed shares
climbed 3.8%, to a record high. Shares of electric
carmaker also set a new high before retreating 1.8%.
On Wall Street, the Dow Jones Industrial Average rose
1.35%, the S&P 500 gained 1.00%, and the Nasdaq Composite
added 0.6%.
The dollar edged higher, holding above two-year lows against
the euro, as its sell-off against the single currency paused
after the U.S. currency got a boost on Friday. Data showed a
recovery in U.S. business conditions, while European data showed
slowing improvement.
Federal Reserve Chairman Jerome Powell this week will give a
highly anticipated speech about the U.S. central bank's policy
framework review at the Fed's annual Jackson Hole symposium.
The speech will be watched for clues about interest rates
and will likely be the next major dollar driver, with investors
watching to see if Powell signals that the Fed will shift its
inflation target to an average.
The 10-year U.S. Treasury note rose 1.4 basis
points to 0.6542%.
The dollar index rose 0.113%, with the euro
down 0.05% to $1.1789.
The Japanese yen weakened 0.12% versus the greenback
at 105.96 per dollar.
Oil prices strengthened as storms threatening the Gulf of
Mexico shut more than half of the U.S. region's oil production
and on expectations of progress in the development of a COVID-19
treatment.
Brent crude futures settled up 78 cents at $45.13 a
barrel. U.S. crude futures rose 28 cents to settle at
$42.62 a barrel.
Gold prices fell as optimism over the FDA's authorization of
a COVID-19 treatment lifted Wall Street stocks to record highs.
U.S. gold futures settled down 0.4% at $1,939.20 an
ounce.
(Reporting by Herbert Lash; Editing by Dan Grebler and Leslie
Adler)
Astrazeneca (AZN)
