GLOBAL MARKETS-Stocks seesaw, dollar off; global, U.S. worries weigh

(Updates prices, adds commentary)

* Wall St ends session with small gains, shutdown worries loom

* U.S. dollar falls, oil falls

* For Reuters Live Markets blog on European and U.s. stock markets please click on:

NEW YORK, Jan 23 (Reuters) - The MSCI global stock index ended Wednesday’s choppy trading session with a small gain as worries over U.S. politics, global economic growth and trade tensions were countered by a boost from quarterly earnings reports.

However, the U.S. dollar and oil prices declined.

U.S. Treasury yields climbed but analysts expect the $15.6 trillion market to be confined within a tight trading range due to a dearth of fresh economic data amid the longest-ever U.S. government shutdown.

The U.S. dollar edged lower against a basket of currencies as uncertainty over trade and the global economy clouded the greenback’s near-term outlook and restricted it to tight trading ranges against other major currencies.

“The trade conflicts and tensions, the (U.S. government) shutdown and certainly more chatter about global growth in 2019, those are the factors that need to be hashed out before we get a clear direction,” said Minh Trang, senior currency trader at Silicon Valley Bank in Santa Clara, California.

After falling more than 1 percent in the previous day’s session, Wall Street indexes zig-zagged.

Strong quarterly reports from Procter & Gamble, Comcast Corp and International Business Machines helped the Dow show the biggest gains of the day.

But U.S. political uncertainty weighed heavily on investors.

White House economic adviser Kevin Hassett said in a CNN interview the United States could see zero growth in the first three months if the partial government shutdown is extended for the whole quarter.

“What we’re seeing here is a very indecisive market and a market that’s very sensitive to headline news on trade and the shutdown,” Peter Cardillo, chief market economist at Spartan Capital Securities in New York referring to Hassett’s comment.

And, according to Cardillo, it didn’t help investor mood that U.S. President Donald Trump and U.S. House of Representatives Speaker Nancy Pelosi argued publicly over whether Trump can deliver the annual State of the Union address in the House chamber during the shutdown.

“The longer the bickering goes on the longer the shutdown goes on and everyone gets affected if the economy slows,” he said.

The Dow Jones Industrial Average rose 171.14 points, or 0.7 percent, to 24,575.62, the S&P 500 gained 5.8 points, or 0.22 percent, to 2,638.7 and the Nasdaq Composite added 5.41 points, or 0.08 percent, to 7,025.77.

MSCI’s gauge of stocks across the globe rose 0.1 percent, after the pan-European STOXX 600 index lost 0.06 percent.

Investors also kept a close eye on China on hopes more economic stimulus measures would ease worries over slow progress in trade talks between Washington and Beijing.

Trump told reporters on Wednesday that the United States was doing well in trade talks and that China “very much wants to make a deal.”

The day before his advisers had said he would not soften his position that Beijing must make real structural reforms, including how it handles intellectual property, to reach a trade deal.

“The market is shadow-boxing with speculation about trade,” said Ward McCarthy, chief financial economist at Jefferies & Co. in New York.

The dollar index, which tracks the greenback versus the euro, yen, sterling and three other currencies, was down 0.2 percent at 96.127. The index has risen nearly 1 percent over the last two weeks.

The greenback was up 0.22 percent against the yen after the Bank of Japan on Wednesday kept its stimulus program in place.

Benchmark 10-year notes last fell 4/32 in price to yield 2.7462 percent, from 2.732 percent late on Tuesday.

Oil prices slipped as the European Union sought to circumvent U.S. trade sanctions against Iran and on weaker U.S. gasoline prices.

U.S. crude settled down 0.74 percent or 39 cents at $52.62 per barrel. Brent crude futures settled at $61.14 per barrel, down 36 cents, or 0.59 percent. (Additional reporting by Saqib Iqbal Ahmed, April Joyner, Richard Leong, Scott DiSavino and Lewis Krauskopf in New York, Josephine Mason, Sujata Rao and Helen Reid in LONDON. Hideyuki Sano and Shinichi Saoshiro in TOKYOEditing by Bernadette Baum, Susan Thomas and Cynthia Osterman)