* Graphic: 2020 asset performance http://tmsnrt.rs/2yaDPgn
* Graphic: World FX rates in 2020 http://tmsnrt.rs/2egbfVh (Updates to U.S. market open, changes dateline to NEW YORK from LONDON, changes byline)
By Stephen Culp
NEW YORK, Nov 11 (Reuters) - U.S. stocks advanced and crude prices extended their rally on Wednesday, on hopes of potential COVID-19 vaccines and economic revival, though spiking coronavirus infections raised the specter of new lockdowns and dampened investor optimism.
The blue-chip Dow was only nominally higher.
A return to tech-focused market leaders, which thrived during COVID shutdowns but sold off earlier in the week as investors pivoted to economically-sensitive cyclical stocks, put the Nasdaq out front.
"It's a pause in the pivot," said Peter Cardillo, chief market economist at Spartan Capital Securities in New York. "We're seeing some profit-taking and tech is rebounding, possibly from an oversold condition."
The prospect of a return to normal appeared to grow after Pfizer Inc (NYSE:PFE)'s PFE.N announcement on Monday that its COVID-19 vaccine candidate, developed with BioNTech BNTX.O , showed a 90% success rate in preventing infection during trials. news stoked investor risk appetite across the board, and sent oil prices, building on two straight sessions of sharp gains, higher.
But the optimism could be waning. The Dow Jones Transportation index .DJT , seen by many as a barometer of broader economic health, was sharply lower.
While on Tuesday the yield of benchmark U.S. 10-year Treasuries reached the highest level since March, The U.S. bond market was closed on Wednesday in observance of Veterans' Day.
The Dow Jones Industrial Average .DJI rose 8.31 points, or 0.03%, to 29,429.23, the S&P 500 .SPX gained 19.19 points, or 0.54%, to 3,564.72 and the Nasdaq Composite .IXIC added 157.50 points, or 1.36%, to 11,711.35.
The momentum of vaccine hopes boosted European shares higher for the third straight session, offsetting worries over spiking coronavirus infections. pan-European STOXX 600 index .STOXX rose 1.00% and MSCI's gauge of stocks across the globe .MIWD00000PUS gained 0.53%.
Emerging market stocks lost 0.22%. MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS closed 0.15% higher, while Japan's Nikkei .N225 rose 1.78%.
Crude oil prices extended their rally, building on gains sparked by the notion of reviving demand and a steeper-than-expected decline in U.S. inventories. crude CLcv1 rose 2.9% to $42.56 per barrel and Brent LCOcv1 was last at $44.75 per barrel, up 2.61% on the day.
The dollar index gained ground as riskier currencies lost against the greenback. dollar index .DXY rose 0.43%, with the euro EUR= down 0.53% to $1.1751.
The Japanese yen weakened 0.31% versus the greenback at 105.65 per dollar, while Sterling GBP= was last trading at $1.3197, down 0.56% on the day.
Gold dipped, hurt by a stronger dollar and increased risk appetite which drew investors away from the safe-haven metal. gold XAU= dropped 0.7% to $1,863.56 an ounce.
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http://tmsnrt.rs/2jvdmXl Global currencies vs. dollar
http://tmsnrt.rs/2egbfVh Emerging markets
http://tmsnrt.rs/2ihRugV MSCI All Country Wolrd Index Market Cap
http://tmsnrt.rs/2EmTD6j
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