(Adds close of European markets)
* Oil hits three-week high on OPEC prospects, weaker dollar
* Copper up on expectations of more China demand
* Dollar slips but stays close to highest since 2003
* S&P sets intraday record, poised for closing record
By Chuck Mikolajczak
NEW YORK, Nov 21 U.S. stocks climbed on Monday
to set a record peak and European equity markets also advanced,
buoyed by strong gains in the energy sector as oil prices surged
to a three-week high.
Both Brent and U.S. crude jumped more than 4 percent
to hit their highest levels in about three weeks, as the dollar
weakened. The gains were also helped by comments by Russian
President Vladimir Putin that raised expectations major oil
producing countries could reach a deal to limit output at a
meeting next week.
Among U.S. equities, the S&P energy index gained 2.1
percent as the top-performing sector, helping to push the
benchmark S&P 500 index above its intraday record of 2,193,81
set on Aug. 15. The advance put the index on pace to set a
"It's in that mindset now, we have broken up and out, we are
testing the highs, so new highs beget new highs," said Ken
Polcari, director of the NYSE floor division at O'Neil
Securities in New York. "Now it's all psychological."
The Dow Jones industrial average rose 65.85 points,
or 0.35 percent, to 18,933.78, the S&P 500 gained 14.38
points, or 0.66 percent, to 2,196.28 and the Nasdaq Composite
added 39.73 points, or 0.75 percent, to 5,361.24.
The Nasdaq hit an intraday record for a second day, reaching
as high as 5,364.76, but market participants cautioned that
volume was likely to be light this week ahead of the U.S.
Thanksgiving Day holiday on Thursday.
The climb in oil lifted European markets, with the STOXX
Europe oil & gas index up 2.1 percent. Europe's index of
leading 300 shares closed up 0.3 percent. MSCI's
all-country world index advanced 0.6 percent.
The dollar eased 0.06 percent to 101.15 against a
basket of major currencies, pausing after a 10-day streak that
saw it gaining nearly 5 percent. That rally was fueled by
expectations of policies by U.S. President-elect Donald Trump
that would lead to interest rate increases.
In similar fashion, U.S. Treasury yields, which have soared
in the wake of the U.S. election, declined from one-year highs
as the recent selloff tempted some new buyers. Benchmark 10-year
note yields jumped as high as 2.36 percent on Friday
and were last up 2/32 in price to yield 2.3298 percent.
Sterling climbed 1 percent against the dollar to
$1.2461 as the market processed British Prime Minister Theresa
May's latest hints on the possible shape of Britain's exit from
the European Union.
Copper prices, which have risen on Trump's promise
to spend heavily on infrastructure, were up 2.4 percent
at $5,553.50 a tonne on the prospect of better demand in top
consumer China and on the dip in the greenback.
The pause in the U.S. dollar rally helped gold bounce
from a 5-1/2 month low. Spot gold was up 0.2 percent at
$1,210.86 an ounce.
(Reporting by Chuck Mikolajczak; Editing by Bernadette Baum)