Trader's Highlight

DJI-NEW YORK, March 19 (Reuters) - U.S. stocks fell on Thursday on concerns that the Federal Reserve's latest efforts to stem the U.S. recession are too costly and untested, prompting investors to book profits on bank shares after the recent sharp rally.

Investors were unsettled by the implications of the Fed's action to pump another $1 trillion into the financial system and a plan to expand its consumer and small business lending program, fearing the moves could stir up inflation in the long term.

The Dow Jones industrial average <.DJI> fell 85.78 points, or 1.15 percent, to 7,400.80. The Standard & Poor's 500 Index <.SPX> lost 10.31 points, or 1.30 percent, to 784.04. The Nasdaq Composite Index <.IXIC> shed 7.74 points, or 0.52 percent, to 1,483.48.

NYMEX-NEW YORK, March 19 (Reuters) - U.S. crude oil futures settled above $50 on Thursday for the first time in almost four months after the dollar dropped sharply on the U.S. Federal Reserve plan to pump $1 trillion into the recession-hit economy.

On the New York Mercantile Exchange April crude settled up $3.47, or 7.21 percent, at $51.61 a barrel, trading from $48.78 to $52.25. It was the highest settlement since Nov. 28, 2008's $54.43 close and the intraday high was the highest
price since $54.62 on Dec. 1, 2008.

NYMEX May crude settled up $3.14, or 6.42 percent, at $52.04 a barrel, narrowing the contango with April crude to 43 cents from 76 cents at the close on Wednesday.

CBOT-SOYBEANS - May up 25-1/2 cents at $9.40-1/2 per bushel. Soy rallies as dollar index <.DXY> plunges 3 percent on Wednesday.

CBOT-SOYOIL - May up 0.97 cent per lb at 31.89 cents per lb. Led higher by soybeans and soaring crude as Fed stimulus move pushes the dollar lower and makes U.S. commodities cheaper for foreign buyers.

FCPO-KUALA LUMPUR, March 19 (Reuters) - Malaysian crude palm oil futures inched higher on Thursday as oil markets surged but top vegetable oil buyer India cutting import duties on rival soyoil dented some sentiment.

The benchmark June contract on the Bursa Malaysia Derivatives Exchange settled up 6 ringgit at 1,911 ringgit ($523.3) per tonne after rising as high as 1,945 ringgit.

Other traded months mostly fell except for the July contract, which rose 22 ringgit <0#KPO:>. Overall volumes doubled to 21,334 lots of 25 tonnes each.

REGIONAL EQUITIES-BANGKOK, March 19 (Reuters) - Most Southeast Asian stocks
gained on Thursday, cheered by moves to revive the U.S. economy, with bank shares helping extend gains in Singapore for a second day and Malaysia hitting its highest in more than a week.

Singapore's index <.FTSTI> added 0.6 percent, coming off an early 1.4 percent rise to a near three-week high. In Kuala Lumpur, the benchmark index <.KLSE> gained 0.5
percent, with Maybank climbing 4.4 percent.