DJI- NEW YORK, June 7 (Reuters) - The S&P 500 ended barely changed on Thursday as optimism about China's interest-rate cut was offset by Federal Reserve Chairman Ben Bernanke's comments that dimmed hopes for more U.S. stimulus.
Both the Dow industrials and the Nasdaq ended off session highs, with the Dow rising modestly for the day and the Nasdaq slipping.
Stocks lost ground following Bernanke's comments a day after experiencing the best one-day rally so far this year. Over the previous three days, the S&P 500 gained 2.9 percent, recovering some of May's losses.
The surprising move by China's central bank to cut its benchmark interest rate by 25 basis points helped ease worries about faltering global demand.
Speculation has been rising that central banks will take more action to combat escalating debt problems in Europe and slower global growth. Bernanke, in testimony Thursday, said the Fed was ready to take action but gave no hint of imminent steps.
His remarks were seen as offsetting more supportive comments from other Fed members in the last 24 hours, but still leaving the door open for more action at the Fed's next meeting on June 20.
The Dow Jones industrial average <.DJI> advanced 46.17 points, or 0.37 percent, to 12,460.96 at the close. The Standard & Poor's 500 Index <.SPX> edged down 0.14 of a point, or 0.01 percent, to 1,314.99. The Nasdaq Composite Index <.IXIC> slipped 13.70 points, or 0.48 percent, to close at 2,831.02.
NYMEX- NEW YORK, June 7 (Reuters) - U.S. crude futures fell on Thursday as comments from U.S. Federal Reserve Chairman Ben Bernanke diminished expectations for additional economic stimulus and countered the supportive interest rate cut unexpectedly announced by China.
Ben Bernanke said the U.S. central bank was ready to help the economy if financial troubles mount but offered few hints that further monetary stimulus was imminent.
For investors wanting indications about the prospect for a third round of large-scale Fed bond buying, Bernanke's testimony disappointed.
As the euro zone debt crisis drags on, Spain's credit rating was slashed by three notches by Fitch, which signaled it could make further cuts as the cost of restructuring the country's troubled banking system spiraled and Greece remains in political turmoil.
China delivered two surprises on interest rates on Thursday, cutting borrowing costs to combat faltering growth while giving banks additional flexibility to set competitive lending and deposit rates.
On the New York Mercantile Exchange, July crude fell 20 cents, or 0.24 percent, to settle at $84.82 a barrel, but extended losses and fell below $84 in post-settlement trading.
CBOT SOYBEAN- Chicago Board of Trade soybean futures rose to their highest level in nearly three weeks on Thursday, surging through key technical resistance by the close of pit trading at 1:15 p.m. CDT (1815 GMT) on a weaker dollar and hopes that top importer China will step up its soy imports, traders said.
China, the world's biggest importer of soybeans, cut interest rates for the first time in four years in a bid to bolster economic growth.
China will import more corn and soybeans next season to keep pace with growing domestic demand, the state-owned China Grain Reserves Corp (Sinograin) said.
The benchmark CBOT July contract burst through technical resistance at its 50-day moving average during Thursday's session, the first time it has breached that level since May 21.
CBOT July soybeans peaked at $14.30 a bushel, their highest level since May 18.
CBOT showed another drop in soybean registrations late Wednesday, a possible sign of firming cash markets. Soybean registrations fell by 54 contracts, leaving a total of 43 lots. The number of contracts registered for delivery has dropped from 667 contracts as of May 30.
FCPO- SINGAPORE, June 7 (Reuters) - Malaysian palm oil futures fell on Thursday, tracking lower crude oil as investors turned cautious on prospects of the United States introducing fresh monetary stimulus and European policymakers rescuing Spanish banks.
Fed Chairman Ben Bernanke is due to testify on the U.S. economy before a congressional committee later in the day, and investors will be watching closely for any clues to policy that could boost global growth and commodity demand.
Palm oil has been recovering on bargain hunting after plunging to its 2012 low on Monday. But the market returned to the red on Thursday as most investors were still waiting for further cues before jumping in.
"The market is playing a waiting game," said a dealer with a foreign commodities brokerage in Malaysia.
"Traders are awaiting Bernanke's talk tonight and also Dorab's talk later in the day," he added, referring to top oils analyst Dorab Mistry, who is set to speak at a palm oil trade fair in India.
Benchmark August palm oil futures on the Bursa Malaysia Derivatives Exchange lost 1 percent to close at 2,974 ringgit ($941) per tonne. Prices touched a low of 2,925 ringgit on Monday, their lowest since Nov 2, 2011.
Traded volumes stood at 34,801 lots of 25 tonnes each, higher than the usual 25,000 lots.
REGIONAL EQUITY- BANGKOK, June 7 (Reuters) - Southeast Asian stock markets traded mainly flat to higher on Thursday amid hopes about debt situation in Europe and gains in commodities-related stocks, with Vietnam leading the way after the credit upgrade by ratings agency Standard & Poor's.
Vietnam's index of Ho Chi Minh Stock Exchange <.VNI> jumped as much as 2.4 percent and ended the day up 1.88 percent at a one-week high of 434.41. The Southeast Asia's best performer has racked up gains of nearly 24 percent so far this year.
The upgrade stoked expectations of increased fund flows and lower borrowing costs. Foreign investment to Vietnam has been negative so far this month, in line with others in the region. Vietnam had $7.8 million in foreign outflows in June to Wednesday. For the same period, the Philippines <.PSI> reported $19 million in outflows, Thailand <.SETI> had $143 million in outflows and Indonesia <.JKSE> posted $158 million in outflows.
Stocks in the Philippines, Malaysia <.KLSE> and Thailand <.SETI> gained 1.1 percent, 0.4 percent and 0.05 percent, respectively. Singapore <.FTSTI> and Indonesia <.JKSE> retreated from day highs to end a tad lower.
