Trader's Highlight

DJI-NEW YORK, Aug 26 (Reuters) - The Dow and S&P 500 rose on Tuesday as hurricane fears lifted oil prices and boosted energy shares, blunting the effect of a report that showed a growing number of problem U.S. banks.

The Dow Jones industrial average <.DJI> was up 26.62 points, or 0.23 percent, at 11,412.87. The Standard & Poor's 500 Index <.SPX> was up 4.66 points, or 0.37 percent, at 1,271.50. The Nasdaq Composite Index <.IXIC> was down 3.62 points, or 0.15 percent, at 2,361.97.

NYMEX-NEW YORK, Aug 26 (Reuters) - U.S. crude oil futures ended higher for a second day in a row on Tuesday as oil companies began preparing against Hurricane Gustav, which is forecast to enter the U.S. Gulf of Mexico as a major storm this weekend.

On the New York Mercantile Exchange, October crude settled up $1.16, or 1.01 percent, at $116.27 per barrel, trading from $112.36 to $117.89, above the 20-day moving average of $117.46.

CBOT-SOYBEANS - September down 1-3/4 cents at $13.37-1/2 per bushel, November down 2-1/2 at $13.44-1/2.Strong dollar weighs along with declines in Asian vegoil markets. Market underpinned by dry U.S. crop weather, declining crop ratings and upturn in crude oil.

SOYOIL - September down 0.60 cent at 53.92 cents per lb.Pressured by strong dollar and drop in Malaysian palm oil.But upturn in crude oil lending support.

USD-NEW YORK, Aug 26 (Reuters) - The dollar climbed to six-month highs against the euro on Tuesday, boosted by a jump in U.S. consumer confidence and expectations of euro-zone interest rate cuts as investors braced for a possible recession in the region.

FCPO-BANGKOK, Aug 26 (Reuters) - Malaysian crude palm oil futures fell 7.3 percent to a one-week low on Tuesday as fears of defaults by Chinese buyers amid rising supply encouraged players to sell contracts heavily, traders said.

The benchmark November palm oil contract fell 191 ringgit, or 7.3 percent, to finish at 2,409 ringgit ($710) per tonne, the lowest since Aug. 19.

REGIONAL EQUITIES-SINGAPORE, Aug 26 (Reuters) while fears of slowing economic growth continued to plague most other Southeast Asian markets.Singapore <.FTSTI> gave up 1 percent. Indonesia <.JKSE> slid 0.9 percent, and Malaysia <.KLSE> dropped 0.8 percent.

The Philippine index <.PSI> shed 0.6 percent but Vietnam<.VNI> defied the trend to rise a fourth straight day, by 2.5 percent.