DJI - NEW YORK, June 25
(Reuters) - Global stock indexes and the euro sank on Monday on doubts that a
European summit this week would move any closer to solving the region's
festering debt crisis, a pessimistic outlook that spa rked a bid for safe-haven
assets.
The euro fell
broadly on investor skepticism that the meeting of European Union leaders on
Thursday and Friday will produce substantive measures to tackle the debt
crisis, now in its third year and buffeting Spain, the euro zone's
fourth-largest economy.
Spanish and Italian
bond yields rose in a sign of investor skittishness, while the dollar and U.S.
government debt prices ga ined as investors sought safety.
Decliners beat
advancers by a ratio of about 3 to 1 on both the New York Stock Exchange and
the Nasdaq in light trade.
The Dow Jones
industrial average lost 138.12 points, or 1.09 percent, to close
at 12,502.66. The Standard & Poor's 500 Index fell 21.30 points,
or 1.60 percent, to finish at 1,313.72. The Nasdaq Composite Index slid 56.26 points, or 1.95 percent, to end at 2,836.16.
NYMEX - NEW YORK, June 25
(Reuters) - U.S. crude futures fell back on Monday as Tropical Storm Debby, the first named storm of
this Atlantic hurricane season, missed the Gulf of Mexico's production-rich areas and hopes faded that an EU summit this week will find durable solutions to the region's debt crisis.
CBOT SOYBEAN, June 25 (Reuters)
- Soybean futures on the Chicago Board of Trade ended higher, with deferred contracts leading the way
up as dry weather and rising temperatures threatened U.S. yield potential.
* Most-active
November soybeans broke through major chart resistance at $14.00 per bushel, its previous contract high, to set a new top at $14.37. September 2012, January
and August 2013 soybeans also set contract highs.
* Spot July
soybeans reached $14.91-1/4, the highest level on a continuous price chart since May 2.
* Soymeal and
soyoil futures also rose, with deferred contracts leading the advances. Soymeal futures set contract highs in most months other than spot July.
* A high pressure
ridge hovering over the Rocky Mountains is expected to push east
across the Midwest and Delta later this week through next week, bringing the hottest days of the
season to the Midwest. Highs in Chicago highs could reach 100
degrees Fahrenheit (38 Celsius) on Thursday.
* Soybeans pared
gains slightly after updated computerized forecasting models indicated good rains could move through
the eastern Midwest by early next week, but forecasters were skeptical of the changes.
* USDA confirmed
sales of 120,000 tonnes of U.S. soybeans to China for delivery in 2012/13.
* Analysts
surveyed by Reuters expected USDA in its weekly crop progress report later on Monday to show 53 percent of
the U.S. soybean crop rated in good to excellent condition, down
from 56 percent a week earlier.
* USDA reported
export inspections of U.S. soybeans in thelatest week at 9.182 million bushels, below trade estimates
for 12 million to 14 million bushels.
* CFTC's weekly
supplemental report on Friday showed large speculators expanded their net long position in CBOT
soybeans by 4,235 contracts as of June 19, to 182,294 contracts.
FCPO - SINGAPORE, June 25
(Reuters) - Malaysian crude palm oil futures closed higher on Monday on hopes demand for the
tropical oil would get a boost as dry weather in the United States
curbs supply of competing soybean oil.
Palm oil futures
rose close to 4 percent last week on U.S. weather woes, and prices sharply extended those gains on
Monday on concerns that the drought could be worse than expected.
Rising exports
ahead of the Muslim fasting month Ramadan that begins in end-July also added to the bullish mood. "The dry
weather is lending support. Demand should also be able to stay healthy because of last-minute purchase ahead
of Ramadan," said Alan Lim Seong Chun, research analyst
with Malaysia's Kenanga Investment Bank.
"Also, there
will be a summit in Europe this week. Since the general equities markets have gone down quite a bit, the
market expects the Europe leaders to make some decisions to keep
the economy going. These are conditions for further stimulus,
and they will be beneficial for all commodities including palm
oil."
Benchmark
September palm oil futures on the Bursa Malaysia Derivatives Exchange jumped 2.6 percent to close at 3,030 ringgit ($948) per tonne, after hitting a high of
3,059 ringgit earlier in the session.
Traded volumes
stood at 26,177 lots of 25 tonnes each, slightly higher than the usual 25,000 lots.
Malaysian palm oil
exports grew 4.4 percent to 1.2 million tonnes in the first 25 days of the month from a month ago,
said cargo surveyor Intertek Testing Services, backed by higher shipment to China, India and Pakistan.
Another cargo
surveyor Societe Generale de Surveillance will delay the data release palm oil exports to Tuesday, an
official said.
Traders cited
fears that dry weather would impede the planting of the last of the U.S. soybean crop, including so-called "double-crop" soybeans that are planted
on recently harvested winter wheat fields.
Unfavourable
weather that could hurt soybean crop may lead to a smaller supply of soybean oil, shifting demand to thecheaper refined palm oil.
Brent crude
futures hovered around $90 a barrel on Monday as concerns about faltering global growth and Europe's debt
crisis hit investor confidence.
In other vegetable
oil markets, U.S. soyoil for July delivery jumped 2.1 percent, lending support to palm oil
prices.
The most active
January 2013 soyoil contract on Dalian commodity exchange also rose 1 percent after resuming trading after a holiday. Prices touched a new high at 9,620
yuan per tonne, a level last seen since May 14.
REGIONAL EQUITY, BANGKOK, June 25
(Reuters) - Southeast Asian stock markets ended mostly lower on Monday, after a range-bound session,
with Philippine shares bucking the trend as large cap stocks such
as Philippine Long Distance Telephone Co rose on hopes of better earnings.
The Philippine
benchmark stock index <.PSI> rose 0.9 percent to its highest close in six weeks, led by a 4.9 percent gain
by top telecoms firm PLDT, which was also the most actively
traded.
The outlook for
Philippine companies' earnings was attractive, including telecoms, conglomerates and power
firms,said Oliver Plana, head of sales at AsiaSec Equities Inc in Manila.
"The domestic
market increasingly got good foreign buying interest. It is because of good macro numbers and the profit expectation has gone up," he said.
Overall, the
emerging region's investors remained wary of persistent fears about Europe's debt crisis and fresh concerns about global economic growth. Malaysia <.KLSE> ended
flat,climbing at one point to an intraday record high of
1,611.50.