Trader's Highlight

DJI- NEW YORK, April 16 (Reuters) - Global stocks faltered on Monday despite stronger-than-expected U.S. retail sales, while government debt prices rose as worries about Spain's fiscal problems and a resurgent euro zone crisis weighed on investor sentiment.

The dollar retreated against the euro and gold prices fell after Spain acknowledged it has probably tipped into its second recession since 2009. [ID:nL6E8FG9K3]

Spanish 10-year government bond yields broke through the 6 percent mark for the first time since December, sparking a record-breaking rally in low-risk German debt. Spanish yields were expected to continue rising toward 7 percent - a level beyond which debt costs are widely viewed as unsustainable - unless the European Central Bank resumes its bond purchases after a two-month break.

Concern is growing that the recession will make it impossible to meet deficit targets and that Spain will have to seek some form of international bailout even as the Spanish government says it is committed to making major budget cuts.

The Dow Jones industrial average <.DJI> closed up 71.82 points, or 0.56 percent, at 12,921.41. The Standard & Poor's 500 Index <.SPX> fell 0.69 points, or 0.05 percent, at 1,369.57. The Nasdaq Composite Index <.IXIC> slid 22.93 points, or 0.76 percent, at 2,988.40.

NYMEX- NEW YORK, April 16 (Reuters) - U.S. crude futures ended slightly higher on Monday as news of an earlier target date for the reversal of the Seaway oil pipeline prompted heavy transatlantic spread trading.

Pipeline owners Enterprise Product Partners and Enbridge plan to advance the reversal of the flow of the pipeline by mid-May, pending regulatory approval, about two weeks ahead of schedule. [ID:nL2E8FG4IQ]

The reversal would help ease the glut in U.S. crude stockpiles in the Midwest as the pipeline will bring Canadian oil and North Dakota crude directly to the U.S. Gulf Coast. [ID:nL2E8FG4IQ]

U.S. crude futures fell in early trade as the resumption of talks in Istanbul between Iran and six world powers during the weekend over Tehran's disputed nuclear program elicited positive
reaction from oil investors.

Negotiators from Iran and the world powers agreed to meet again on May 23 in Baghdad. However, the United States remained on guard and President Barack Obama said more sanctions would be imposed against the Islamic Republic if there was no breakthrough in the talks in the coming months. [ID:nl2E8FF21R]

* On the New York Mercantile Exchange, crude for May delivery , which expires on Friday, settled at $102.93 a barrel, up 10 cents, or 0.10 percent, after trading between
$101.80 and $103.37.

* U.S. June crude settled at $103.37, up 5 cents, while ICE Brent June crude settled down $2.53, or 2.09 percent, at $118.86, narrowing the Brent premium against U.S. crude to $15.31. The June/June premium ended at $17.89 on Friday.

CBOT- Soybean futures on the Chicago Board of Trade fell 1 percent, the most in four weeks, on technical selling and long liquidation following last week's 7-1/2 month high, traders
said.

* Spillover pressure from CBOT corn and wheat futures, which fell as favorable U.S. crop weather boosted crop prospects.

* Additional pressure from investors exiting long soy/short corn spreads.

* Large speculators hold a record-large net long position in CBOT soybeans, CFTC data showed on Friday, leaving the market vulnerable to bouts of long liquidation. [ID:nL2E8FDGCV]

* Funds also hold a hefty net long in soymeal and soyoil.

* The National Oilseed Processors Association (NOPA) reported the U.S. soybean crush for March at 140.534 million bushels, up from 136.35 million in February but below an average of trade estimates for 143.8 million.

* NOPA reported U.S. end-March soyoil stocks at 2.363 billion lbs, up from 2.242 billion in February and above the average trade estimate of 2.338 billion.

* Analysts at Celeres reported Brazil's soy harvest at 88 percent complete as of April 13, up from 82 pct a week earlier; sales rose to 72 pct of expected production, up from 70 pct the previous week. [ID:nL2E8FG96T]

* USDA said an overnight fire delayed its weekly export inspections and crop progress reports. The crop progress report, ordinarily released on Monday afternoon, was rescheduled for
Tuesday. [ID:nL2E8FG8RE]

FCPO- SINGAPORE, April 16 (Reuters) - Malaysian palm oil futures inched down on Monday as a drop in export numbers for the first half of the month led some traders to book profits, although losses were curbed by tightening edible oil supply.

Palm oil hit a 13-month high at 3,628 ringgit per tonne last week after Malaysian stocks fell below the 2-million-tonne mark for the first time this year, fanning fears of tighter global supplies, given the drought hitting the South American soy crop.

But the futures market ended that week with a loss of 2.6 percent, as some traders said the market was overbought.

Malaysian palm oil exports fell by a steep 14.8 percent for the first half of April from a month earlier, cargo surveyor Intertek Testing Services said, although analysts said that might not necessarily be a sign of weaker demand. [PALM/ITS]

"You can't just look at what happens in 15 days and say that demand is weak. There may be other reasons, such as timing in shipping. We need to get the overall (export data) for the month
(to gauge demand)," said James Ratnam, an analyst at TA Securities in Malaysia.

"It seems more like technical selling. Exports for the first 15 days down 15 percent, it could be a good excuse to sell. It doesn't really translate into weak demand. Demand might not be as strong as last month but 15 percent is a bit too steep."

At closing, benchmark July palm oil futures on the Bursa Malaysia Derivatives Exchange inched down 0.3 percent at 3,487 ringgit ($1,138) per tonne.

Traded volumes stood at 28,067 lots of 25 tonnes each, slightly higher than the usual 25,000 lots.

On the technicals front, Reuters market analyst Wang Tao maintained a bearish view, saying palm oil would slide further to 3,401 ringgit per tonne. [ID:nL3E8FG1IH]

On the supply side, Malaysia's palm oil stocks for March fell to a seven-month low at 1.96 million tonnes, beating market estimates and prompting some traders to lock in more crude palm oil purchases.

Another cargo surveyor Societe Generale de Surveillance reported a 13.5 percent drop in exports for April 1-15, echoing earlier data issued by ITS. Exports for refined products suffered declines as the Indonesia tax advantage drew orders away from No.2 producer Malaysia.[PALM/SGS]

REGIONAL EQUITY- April 16 (Reuters) - The Philippines stock market rose to a four-week high and Singapore hit a two-week high on Monday, but most other Southeast Asian stock markets closed weaker after a surge in Spanish bond yields renewed concerns about Europe's
debt crisis and undermined investor appetite for riskier assets.

Singapore <.FTSTI> ended 0.1 percent up at its highest since April 3, with oil rig builder Keppel Corp Ltd gaining 1.2 percent on a record $4.1 billion Brazil oil-rig order.

The Manila stock market <.PSI> rose 0.4 percent to its highest since March 19.

Indonesia <.JKSE> fell 0.3 percent with net foreign selling of $34 million, while Malaysia <.KLSE> closed 0.4 percent weaker.

Vietnam <.VNI> closed 1.2 percent firmer. Thailand's stock market <.SETI> was closed for the Songkran holiday.
((shihar.aneez@thomsonreuters.com; +94-11-232-5540; Reuters