Tuesday, October 19, 2010

Trader's Highlight

DJI-NEW YORK, Oct 18 (Reuters) - U.S. stocks rose on Monday, led by gains in financials as Citigroup reported stronger-than-expected profits and concerns eased about the sector's potential exposure to foreclosure problems.

"The financials last week were getting hammered over questions over foreclosure proceedings ... now it doesn't seem to be as all-encompassing," said Marc Pado, U.S. market strategist at Cantor Fitzgerald & Co in San Francisco.

Corporate results so far suggest "the banks are slowly getting better, getting repaired. And I think that's been the game plan all along," he said.

The Dow Jones industrial average <.DJI> was up 47.15 points, or 0.43 percent, at 11,109.93. The Standard & Poor's 500 Index <.SPX> added 3.48 points, or 0.30 percent, at 1,179.67. The Nasdaq Composite Index <.IXIC> inched up 1.19 points, or 0.05 percent, at 2,469.96.

NYMEX-NEW YORK, Oct 18 (Reuters) - U.S. crude oil futures ended 2.25 percent higher on Monday, the biggest one-day gain in two weeks, lifted as refined product futures rose on prolonged strikes in France that have hit shipping and refineries.

In early trading, the dollar's strength had pressured oil, but the greenback later gave up gains against the euro and a basket of currencies <.DXY> adding spring to the oil price bounce.

On the New York Mercantile Exchange, crude for November delivery rebounded from Friday's loss and settled $1.83 higher, or 2.25 percent, at $83.08 a barrel, trading from $80.35 to $83.18. The day's gain was the highest since front-month prices rose 2.71 percent on Sept. 30.

CBOT-CHICAGO, Oct 18 (Reuters) - Chicago Board of Trade grain and soybean complex close on Monday.

CBOT- SOYBEAN - November down 1 cent at $11.84 a bushel; January down 3/4 at $11.95. Pressured by active U.S. soybean harvest and profit-taking amid overbought technicals, along with better crop weather in South America. But strong export demand and bullish weekly inspections data underpin market and deferred months ended firm as the market begins to buy soy acreage for 2011.

CBOT - SOYOIL - December down 0.11 cent at 47.66 cents per lb.

FCPO-KUALA LUMPUR, Oct 18 (Reuters) - Malaysian palm oil fell to its lowest in a week and other vegetable oil prices stalled as a stronger dollar and more favourable weather outlooks in South America sapped sentiment.

Palm oil -- which was within striking distance of the 3,000 ringgit level last hit in August 2008 -- came under pressure from some technical selling and weaker-than expected exports in October.

Malaysia's benchmark January 2011 palm oil contract ended 1.6 percent lower at 2,889 ringgit ($937.4) after going as a low as 2,877 ringgit --- a level last traded on Oct. 11.

REGIONAL EQUITIES-BANGKOK, Oct 18 (Reuters) - Southeast Asian stock markets fell on Monday as investors cashed in recent gains, with expectations of a new round of U.S. monetary easing generally already priced in.

Equities indexes in Singapore <.FTSTI> and Malaysia <.KLSE> came off multi-year highs hit last week. Indonesia <.JKSE> fell 0.8 percent while the Philippines <.PSI> was flat, both having recently hit record highs.

U.S. Federal Reserve chief Ben Bernanke cemented expectations on Friday of more U.S. stimulus to fend off deflation, prompting a reversal of trades that had been pushing the dollar lower and most Asian stocks higher for weeks.

In Southeast Asia, selling hit commodity-related shares, which had led the recent rally. Malaysia's top power producer, Tenaga Nasional , lost 1.2 percent, while Thailand's biggest energy firm, PTT , dropped 1.6 percent.

Singapore-listed Wilmar International Ltd. , the world's largest listed palm oil firm, was down 1.1 percent while Philippine geothermal power firm Energy Development Corp was 2 percent lower.