Trader's Highlight

DJI-NEW YORK, May 17 (Reuters) - The Dow and the S&P 500 fell for a third day on Tuesday after disappointing figures from Wal-Mart and Hewlett-Packard, although a late rebound suggested investors may be looking for a short-term bounce.

Both the S&P 500 and Nasdaq dipped below their 50-day moving averages, but those levels appeared to bring in buying interest.

The Dow Jones industrial average <.DJI> dropped 68.79 points, or 0.55 percent, to 12,479.58. The Standard & Poor's 500 Index <.SPX> dropped a mere 0.49 of a point, or 0.04 percent, to 1,328.98. But the Nasdaq Composite Index <.IXIC> gained 0.90 of a point, or 0.03 percent, to 2,783.21.

NYMEX-NEW YORK, May 17 (Reuters) - U.S. crude oil futures dipped in choppy trading on Tuesday as traders weighed forecasts that domestic petroleum inventories rose across the board last week and as the dollar rose.

Traders remained cautious with signs of glowing global economic growth seen imperiling oil demand.

On the New York Mercantile Exchange, crude for June delivery was down 16 cents, or 0.16 percent, at $97.21 a barrel, trading from $96.61 to $97.81. Prices settled at $97.37 on Monday, the lowest since May 6, when the contract ended at $97.18.

CBOT-Chicago Board of Trade soybean futures closed higher on Tuesday on spillover support from gains in corn and from slow U.S. soy plantings due to excessive wet weather and flooding in eastern and southern parts of the Corn Belt.

Gains were limited by the potential for a switch to soybean acreage away from corn in the U.S. as farmers in the eastern Midwest remain bogged down from planting corn.

FCPO-KUALA LUMPUR, May 16 (Reuters) - Malaysian crude palm oil futures rose on Monday in light trade, with some investors buying on a survey showing a jump in exports and firm prices in competing soyoil markets.

Traders eyed weather developments in the United States where there was rain and flooding that slowed the pace of corn planting and may affect soybean seeding, potentially boosting grain markets and the vegetable oil complex.

Malaysian palm oil futures have fallen 14.1 percent so far this year on growing stocks although strong export data from a cargo surveyor showed that top buyers China and India would take up more, erasing earlier losses.

The benchmark August crude palm oil contract on the Bursa Malaysia Derivatives Exchange ended 0.2 percent higher at 3,255 ringgit ($1,084) per tonne, after hitting an intra-day high of 3,275 ringgit.

Overall traded volume was light at 18,702 lots of 25 tonnes each compared to the usual 25,000 lots as some traders took leave ahead of a public holiday on Tuesday in Malaysia.

REGIONAL EQUITIES-HONG KONG, May 16 (Reuters) - Southeast Asian stock markets fell on Monday, tracking weaker global markets as trading activity flagged across exchanges ahead of a public holiday with few catalysts seen pushing funds to make big bets in the region.

Turnover on the Indonesian stock exchange fell 44 percent from Friday's levels with the benchmark index <.JKSE> shedding 0.9 percent on the back of weak financial and mining shares.

Singapore's key stocks index <.FTSTI> also fell 0.9 percent while Malaysia <.KLSE> was the relative top performer, down 0.3 percent. Thai markets were shut.

Southeast Asian markets outperformed the rest of Asia significantly last week on bargain-hunting in the resources sector on recovering commodity prices.

Malaysian casino group Genting fell 2.5 percent and the biggest drag on the country's benchmark stock index followed by a 1.2 percent decline for mobile telecommunications operator Axiata Group .