* European stocks mostly gain on Brexit decision
* Oil prices fall as OPEC mulls output hike
* Dollar rises on strong data; euro, sterling fall
* Graphic: World FX rates in 2019 http://tmsnrt.rs/2egbfVh
By Sinéad Carew and Herbert Lash
NEW YORK, April 11 (Reuters) - A gauge of global equity markets slid on Thursday as investors waited for U.S. first-quarter earnings reports while Treasury yields rose after strong U.S. data and a six-month extension of a deadline for Britain to leave the European Union.
The dollar index rose as worries about the world's largest economy eased after U.S. data showed March producer prices increased by the most in five months and weekly jobless claims fell to the lowest since 1969. data followed a decision by EU leaders to push the Brexit deadline to Oct. 31 so that Britain would not crash out of the bloc on Friday without a treaty - though it offered scant clarity on when, how or if Brexit will happen. and country indexes in Europe rose but Wall Street retreated as investors awaited the U.S. first-quarter earnings season, which starts in earnest on Friday with earnings reports. Profit estimates have dropped steadily in the last six months, with S&P 500 earnings expected to fall 2.5% and mark the first year-on-year decline since 2016, according to Refinitiv data.
"The big elephant out there is earnings. Street estimates are for a year-over-year decline despite higher revenue and that's driven by a handful of large companies that are heavily weighted, so it could be a bit deceiving," said Tim Ghriskey, chief investment strategist at Inverness Counsel in New York.
"Often the market will just wait it out when we start to get close to earnings."
MSCI's gauge of stock market performance in 47 countries .MIWD00000PUS shed 0.25%, while the pan-European STOXX 600 index .STOXX closed up 0.11%. France's CAC 040 .FCHI , Germany's DAX GDAXI and Italy's MIB .FTMIB all rose.
European airline stocks rose, with the travel and leisure index .SXTP rising 1.3%, after the Brexit extension. Irish stocks .ISEQ , which are especially sensitive to a potential hard Brexit, tacked on 0.6%. Wall Street, the Dow Jones Industrial Average .DJI fell 69.85 points, or 0.27%, to 26,087.31. The S&P 500 .SPX lost 4.74 points, or 0.16%, to 2,883.47 and the Nasdaq Composite .IXIC dropped 27.24 points, or 0.34%, to 7,937.00.
U.S.-China trade negotiations were to continue on Thursday. U.S. Treasury Secretary Steven Mnuchin said on Wednesday that the two countries largely agreed on a mechanism to police any trade agreement they reach, including establishing new "enforcement offices." SLIPS
In currency trading, the dollar index .DXY rose 0.25%, with the euro EUR= down 0.16% to $1.1255.
The Japanese yen JPY= weakened 0.59% versus the greenback at 111.68 per dollar. Sterling GBP= fell 0.29% to $1.3051, suggesting fears remain about Brexit.
Germany's 10-year bond yield edged up toward 0.0% after the Brexit announcement, while a signal from the European Central Bank that it will fight low economic growth and inflation boosted peripheral debt.
Germany's 10-year bond yield DE10YT=RR was up 0.02 percentage point at negative 0.01%.
U.S. Treasury benchmark 10-year notes US10YT=RR last fell 6/32 in price to yield 2.5006%.
Oil prices fell more than 1% after sources said that the Organization of the Petroleum Exporting Countries may raise output from July if Venezuelan and Iranian supplies fall further and prices keep rallying.
U.S. crude CLcv1 fell $1.03 to settle at $63.58 per barrel. Brent LCOcv1 settled down 90 cents at $70.83. O/R
Gold prices fell more than 1%, slipping below the key $1,300 level, as robust economic data from the United States boosted the dollar, taking the sheen off the safe-haven metal.
U.S. gold futures GCv1 settled 1.6% lower at $1,293.3 an ounce.