Trader's Highlight

DJI-NEW YORK, June 23 (Reuters) - The dollar weakened across the board while Treasuries rallied on Wednesday after the U.S. Federal Reserve acknowledged a faltering economic recovery and data showed sales of new U.S. homes fell to a lifetime low.

U.S. stocks, which traded mostly down since the market's open, zigzagged and closed mostly lower after the Fed issued its monetary policy statement, which suggested interest rates will remain near zero longer than expected. The Dow industrials, however, eked out a tiny gain just as the regular sesssion ended.

The Dow Jones industrial average <.DJI> edged up 4.92 points, or 0.05 percent, to end at 10,298.44, while the Standard & Poor's 500 Index <.SPX> dropped 3.27 points, or 0.30 percent, to 1,092.04. The Nasdaq Composite Index <.IXIC> fell 7.57 points, or 0.33 percent, to 2,254.23

NYMEX-NEW YORK, June 23 (Reuters) - U.S. crude oil futures fell for a second straight day on Wednesday, slipping almost 2 percent after the government reported crude oil stocks rose last week.

The U.S. Energy Information Administration's oil inventory report showed crude stocks rose 2.0 million barrels last week, against expectations for an 800,000 barrel drop.

On the New York Mercantile Exchange, front-month August crude fell $1.50 or 1.93 percent, to settle at $76.35 a barrel, trading from $75.17 to $77.83.

CBOT-CHICAGO, June 23 (Reuters) - Chicago Board of Trade grains and soy complex close on Wednesday.

CBOT-SOYBEANS - July down 7-1/2 cents at $9.58 per bushel; new-crop November down 12-1/2 at $9.23-1/2. Pressured by profit-taking from this week's one-month highs and overall satisfactory U.S. crop weather, with welcome drier conditions expected next week.

CBOT-SOYOIL - July down 0.34 cent at 37.59 cents per lb. Spillover pressure from weakness in soybeans and crude oil.

FCPO-KUALA LUMPUR, June 23 (Reuters) - Malaysian crude palm oil futures gained a touch on Wednesday, bouncing back from the previous day's slide, as the ringgit's fall lifted domestic investors' risk appetite, traders said.

The Malaysian ringgit weakened 0.4 percent, in line with other Asian currencies, as hopes faded that the Chinese yuan would appreciate quickly and boost the region's currencies. [ID:nSGE65M0C1]

The ringgit's easing has given some respite for refiners, as palm oil is priced in the Malaysian currency and its firming erodes margins.

Benchmark September crude palm oil contract on Bursa Malaysia Derivatives Exchange rose 0.3 percent or 7 ringgit to 2,384 ringgit ($741) a tonne, after falling as low as 2,371 ringgit on Tuesday. Traded volume was 13,938 lots of 25 tonnes each, well above the usual 10,000 lots.

REGIONAL EQUITIES-BANGKOK, June 23 (Reuters) - Equities in Malaysia and Thailand gained on Wednesday as investors bought airlines and sectors seen as beneficiaries of China's more flexible yuan policy although overall optimism over the yuan faded.

Other Southeast Asian bourses, including Singapore and Indonesia, regained most of their early losses, while investors awaited a rate decision by the U.S. Federal Reserve, and U.S. stocks pointed to a higher open on Wednesday. U.S. stock index futures were up 0.43 percent at 1017
GMT.

Malaysia's main share index <.KLSE> and the Thai SET index <.SETI> ended up 0.47 percent and 0.3 percent, respectively, after both lost ground early. Vietnam <.VNI> inched slightly higher.

Singapore <.FTSTI> eased 0.04 percent, Indonesia <.JKSE> and the Philippines <.PSI> each fell 0.3 percent.