LONDON—Global stocks pared losses and the dollar fell on Wednesday after U.S. President Joe Biden told G7 and NATO partners that a missile blast in Poland was caused by a Ukrainian defense missile, dispelling fears that it originated from Russia.
Initial relief among investors was enough to encourage some flows back into equities and commodities, but with concern still simmering over the chances that the Ukraine conflict could spill into neighboring countries, risk assets struggled to gain much upward momentum.
The MSCI All-World index was virtually unchanged on the day, having fallen by as much as 0.2 percent overnight when news of the explosion, which killed two people, broke….