* MSCI world equity index down 0.2 pct
* Oil pushes higher; Gulf markets tumble on unrest fears
* U.S. stocks up in early trading, bonds down
(Updates with U.S. stock market open, adds details, changes
byline, dateline; previous LONDON)
By Caroline Valetkevitch
NEW YORK, March 2 (Reuters) - Gold hit a fresh record high
on Wednesday while world stocks declined as unrest in the
Middle East and North Africa drove up oil prices and pushed
investors into safer assets.
The MSCI world equity index <.MIWD00000PUS> slipped 0.2
percent and was off about 2 percent from a 30-month peak set in
February. The index is still up about 3 percent since the start
of the year.
U.S. stocks were slightly higher as upbeat labor market
data offset further gains in oil prices. For details, see
[]
Also, in a flight to safety the dollar fell to a record low
against the Swiss franc, while U.S. Treasury prices were
lower.
Investors were nervous that political instability could
spread to major oil producer Saudi Arabia, a central U.S. ally
in the region.
"If it continues to spread, Middle East tensions may reach
a point where a war could start and that could ignite an
incredible rally (in oil prices)," said Ryoma Furumi, a
commodities sales manager at Newedge Japan.
Forces loyal to Muammar Gaddafi launched a major offensive
against rebels in eastern Libya, sparking a rebel warning that
foreign military help might be needed to "put the nail in his
coffin" and end Gaddafi's long rule. []
Saudi Arabia's stock markets declined for a 13th session
and hit a 22-month low, while Dubai equities fell to a 6-1/2
year low, reflecting investor worries over planned protests in
Saudi Arabia.
"We are seeing a significant elevation in risk premiums,
with investors revising their expectations for the region,"
said Hashem Montasser, managing partner at Frontlane Capital, a
Dubai-based asset management firm.
"The earnings outlook is very unclear."
Saudi Arabia's benchmark stock index <.TASI> fell nearly 4
percent at one point to a fresh 22-month low.
At the same time, gold <XAU=> hit a record high above
$1,436 an ounce, building on a 6 percent rise in February, its
biggest one-month climb since August.
Brent crude for April delivery <LCOc1> rose 0.4 percent to
$115.83 a barrel on Wednesday. The contract settled up $3.62,
or 3.24 percent, at $115.42 a barrel on Tuesday, its highest
close since August 2008.
U.S. crude for April delivery <CLc1> rose 1 percent to
$100.66 early Wednesday.
In the U.S. stock market, the Dow Jones industrial average
<> rose 26.83 points, or 0.22 percent, at 12,084.85. The
Standard & Poor's 500 Index <.SPX> was up 3.23 points, or 0.25
percent, at 1,309.56. The Nasdaq Composite Index <> added
11.63 points, or 0.42 percent, at 2,749.04.
In Europe, the FTSEurofirst 300 index <> fell 0.6
percent.
The benchmark 10-year U.S. Treasury note <US10YT=RR> was
down 8/32, its yield at 3.43 percent, up from 3.40 percent on
Tuesday, while the Swiss franc soared to a record high versus
the dollar <CHF=EBS>.
(Additional reporting by Florence Tan, Wanfeng Zhou, Natsuko
Waki, Harpreet Bhal and Carolyn Cohn; editing by Jeffrey
Benkoe)
