DJI- NEW YORK, July 10 (Reuters) - U.S. stocks fell for a fourth day on Tuesday as more pessimism from U.S. companies compounded worries the sluggish world economy is taking a toll on U.S. profit growth.
A sales warning from engine maker Cummins Inc CMI.N came on top of earlier weak forecasts from chipmakers Applied Materials Inc AMAT.O and Advanced Micro Devices AMD.N, causing the market to extend losses in afternoon trading. (nL2E8IA8QB)
The news sent the S&P 500 down for a fourth consecutive day, the index's longest downward streak since May when it fell for six straight days.
Shares of industrials .GSPI fell the most at 1.6 percent. Cummins was among the biggest losers, declining 8.9 percent to $86.91.
"The selloff really started with Cummins," said Ryan Detrick, technical analyst at Schaeffer's Investment Research, in Cincinnati. It was "basically reiterating the concerns that we've had going into earnings, like how the European issues are really starting to have an impact on the U.S."
Recent data showing slower growth in Europe, China and the United States has weighed on the stock market, while U.S. companies have warned about overseas weakness and a stronger dollar hurting companies that rely heavily on exports.
The S&P 500 ended at technical support, which is seen in the 1,340-1,345 range, according to Robert Sluymer, analyst at RBC Capital Markets in New York. The 50-day moving average at 1,337 is also eyed as support where clusters of buying would be expected.
The Dow Jones industrial average .DJI was down 83.17 points, or 0.65 percent, at 12,653.12. The Standard & Poor's 500 Index .SPX was down 10.99 points, or 0.81 percent, at 1,341.47. The Nasdaq Composite Index .IXIC was down 29.44 points, or 1.00 percent, at 2,902.33.
Bank stocks also declined, with the euro EUR= hitting a two-year low against the dollar amid uncertainty about progress in tackling the euro zone crisis. The KBW Bank index .BKX fell 0.9 percent.
Cummins cut its full-year sales forecast, citing weakness overseas and a stronger dollar.
NYMEX-NEW YORK, July 10 (Reuters) - U.S. crude oil futures ended more than 2 percent lower on Tuesday as fears of tightening North Sea supplies dissipated after Norway's government ordered an end to an oil workers' strike and China's crude oil imports fell in June.
CBOT SOYBEAN- Soybean futures on the Chicago Board of Trade fell in aprofit-taking setback from Monday's all-time high, as tradersadjusted positions a day ahead of the U.S. Department ofAgriculture's monthly supply/demand reports, traders said.
* Soymeal and soyoil followed soybeans lower.
* Trade expects USDA's July 11 supply/demand report to showa slight decline in U.S. 2011/12 soybean ending stocks butlittle change in 2012/13 ending stocks. What USDA does with its 2012 U.S. soy yield forecast will be key. (nL2E8I6ESK)
* CBOT said it would raise margin requirements on CBOT soybeans and soymeal futures effective after Tuesday's close, a move that prompted some liquidation of positions, traders said.
• News that federal regulators accused Iowa-based broker PFGBest of misappropriating more than $200 million in customer funds may have triggered additional liquidation, traders said. (nL2E8IA0WB)
• Market underpinned by worries about dry U.S. weather. Drought will persist in August in the northern and western Midwest at a time when soybeans go through the critical yield-setting phase - Commodity Weather Group. (nL2E8IA6H0)
• USDA rated 40 percent of the U.S. soybean crop in good to excellent condition as of July 8, down from 45 percent a week earlier. US/SOY Soybean ratings have fallen for five straight weeks.
• The heat and drought affecting U.S. soybeans following small South American soy crops this year may mean global soybean, soymeal and soyoil supplies will be insufficient to cover demand in coming months - Oil World. (nL6E8I98A7)
• China, the world's largest soy buyer, imported 5.62 million tonnes of soybeans in June, the most since November, customs data showed, fueled by strong demand from livestock breeders and expanded crushing capacity. (nL3E8IA1VT)
FCPO- SINGAPORE, July 10 (Reuters) - Malaysian crude palm oil futures slipped on Tuesday as weak exports signalled consumers might have stocked up well ahead of the Muslim holy month of Ramadan, although losses were capped by dry U.S. weather potentially hurting soy output.
Malaysian palm oil exports for the first 10 days of July slipped 13.5 percent from a month ago, said cargo surveyor Intertek Testing Services, going against expectations that strong Asian demand will push exports higher. PALM/ITS
But some in the market are holding out for the Asian festival season in July, starting with Ramadan where fasting in the day is followed by elaborate feasts at night. China and India also celebrate key holidays in September through to November.
Strong Asian demand last month saw Malaysian palm oil stocks fall to a 14-month low, government data showed on Tuesday.
"The market's down on exports today. The numbers were not so good and they surprised everybody," said a trader with a foreign commodities brokerage in Malaysia. "But the U.S. dry weather still plays a part on Malaysian palm oil, that's why there's no sharp retracement downwards."
The benchmark September palm oil futures FCPOc3 on the Bursa Malaysia Derivatives Exchange slipped 0.7 percent to close at 3,130 ringgit ($986) per tonne.
Traded volumes stood at 27,643 lots of 25 tonnes each, slightly higher than the usual 25,000 lots.
Technicals were bearish with Reuters market analyst Wang Tao saying palm oil will drop to 3,051 ringgit, as a rebound from the June 14 low of 2,838 ringgit was completed. (nL3E8IA1E4)
China's orders of vegetable oils in June were up 17.4 percent from a month ago, according to government data, a bright spot in overall weakness in imports and signalling some restocking may be in the works. (nL3E8IA02R)
Strong demand from China in the next few months could eat into Malaysian stocks that fell 4.9 percent to 1.7 million tonnes. (nK7E8EU00Y)
Lower stocks, and the persistent drought in the U.S. Midwest which has damaged soy crops and limited global oilseed supply, could provide support for futures prices.
Traders were also cautious after Japan's weather bureau said on Tuesday there is a strong possibility the El Nino weather pattern, which is often linked to droughts in Southeast Asia and could hurt palm oil output, will emerge this summer. (nL3E8IA1US)
REGIONAL EQUITY- BANGKOK, July 10 (Reuters) - Most Southeast Asian stock markets climbed in light volume on Tuesday, with Singapore and Thai stocks advancing more than 1 percent as concerns about euro zone debt problems eased following a bailout for beleaguered Spanish banks.
Singapore's Straits Times Index .FTSTI finished up 1.2 percent, regaining some lost ground from Monday. The Thai SET index .SETI ended up 1.5 percent, rebounding from the previous two sessions.
Malaysia's main index .KLSE and Jakarta's Composite Index .JKSE posted modest gains of 0.3 percent and 0.6 percent, respectively. The Philippine index .PSI fell 0.5 percent while the Vietnam stock market .VNI was down 0.7 percent.
Trading volume in the region was relatively low following fresh data from China that pointed to flagging domestic demand in the world's No. 2 economy. Imports into China rose 6.3 percent in June from a year ago, less than half the projected increase in a Reuters poll. (nL3E8IA02R)
