Global stocks rally stalls as U.S.-EU trade war threat simmers

LONDON - World stocks slipped below the six-month high they reached earlier this week as U.S. President Donald Trump threatened more tariffs against the European Union, though the prospect of European Central Bank largesse kept them from falling too far.

U.S. and Asian stocks fell, and the MSCI world equity index, which tracks shares in 47 countries, dropped below the six-month low reached earlier in the week. A pan-European index of shares was up 0.3 percent, partly reversing Tuesday’s losses. Germany’s DAX rose 0.4 percent, after dropping nearly a full percent on Tuesday.

Global debt yields held mostly steady, with the 10-year German Bund yield little changed around the zero percent mark. The euro held at $1.1260, extending its slow recovery from a four-week low of $1.1183 touched on April 2. The British pound was little changed at $1.3066. The dollar was flat at 111.17 yen, having fallen 0.5 percent so far this week.

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