As an aside, emotional well being I believe (though I don't have any papers) is linked to improved health. Dog owners, unsurprisingly enjoy dogs. So to a degree, the dogs do have a magic aura.

I don't own one currently but I absolutely adore them. I imagine my stress levels drop significantly every time I'm admiring one at the park.

While it is of course not "magic", I think you're over simplifying the impact of positive factors in peoples lives.