US STOCKS-S&P 500 gains on COVID-19 vaccine, stimulus hopes

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* Chevron slips after agreeing to buy Noble Energy for $5
bln
* Halliburton rises after results
* Pfizer up on securing UK supply deal for potential
vaccines
* Indexes: Dow down 0.18%, S&P up 0.34%, Nasdaq up 1.13%

(Updates to open)
By Devik Jain and Medha Singh
July 20 (Reuters) - The S&P 500 edged higher on Monday as
promising data across a range of COVID-19 vaccine candidates and
hopes of more stimulus helped overcome fears around the extent
of the economic damage from a surge in domestic infections.
U.S. drugmaker Pfizer PFE.N and German biotech firm
BioNTech BNTX.O reported additional data from their
experimental COVID-19 vaccine that showed it was safe and
induced an immune response in patients. Pfizer's shares rose
1.5%. In the United Kingdom, data from AstraZeneca's AZN.L
experimental COVID-19 vaccine also showed it produced an immune
response in early-stage clinical trials in healthy volunteers.
"Even though we had some good vaccine news, the Phase-3
trials for many of these things is the hardest part and is very
difficult to get through," said Elliott Savage, portfolio
manager of the YCG Enhanced Fund in Austin, Texas.
"At this point, the fiscal stimulus is the next thing on
investors' mind. If there were a big audacious kind of fiscal
stimulus package, then that could definitely cause the market to
move higher."
Congress is set to debate a new aid package this week with
some support programmes due to expire by the end of the month
and record levels of new COVID-19 cases forcing many states to
back-pedal their reopening plans. Signs of progress on a potential coronavirus vaccine,
improving economic data and a relatively upbeat start to the
second-quarter earnings season helped the S&P 500 and the Dow
rise for three consecutive weeks.
The benchmark S&P 500 is now about 5% down from its Feb. 19
record close.
At 10:37 a.m. ET, the Dow Jones Industrial Average .DJI
was down 48.50 points, or 0.18%, at 26,623.45, while the S&P 500
.SPX was up 10.83 points, or 0.34%, at 3,235.56.
The Nasdaq Composite .IXIC was up 118.64 points, or 1.13%,
at 10,621.83, boosted by a 4% jump in Amazon.com Inc AMZN.O
after two brokerages raised their price targets on the retail
giant's shares, and a 2% rise in Microsoft Corp 's MSFT.O
shares.
Energy .SPNY and industrials .SPLRCI led the decliners
among the major S&P sectors. Only technology .SPLRCT and
consumer discretionary .SPLRCD were trading higher.
Oilfield services giant Halliburton Co HAL.N rose 5% as it
posted a surprise adjusted profit, benefiting from aggressive
cost cuts. Noble Energy Inc's NBL.O shares jumped 6.5% as Chevron
Corp CVX.N agreed to buy the Houston-based oil and gas
producer for $5 billion in an all-stock deal. Chevron fell 2.2%.
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This week, major companies including Microsoft Corp
MSFT.O , Tesla Inc TSLA.O , Intel Corp INTC.O and Honeywell
International Inc HON.N are expected to report quarterly
results.
Declining issues outnumbered advancers 1.69-to-1 on the NYSE
and 1.12-to-1 on the Nasdaq.
The S&P index recorded 24 new 52-week highs and no new low,
while the Nasdaq recorded 71 new highs and five new lows.