DJI - NEW YORK, April 29 (Reuters) - The
S&P 500 index ended at an all-time high on Monday as growth-oriented
stocks, including energy and technology, lead the way to the index's sixth rise
in the past seven sessions.
Stronger-than-expected housing data
also boosted the market, as did Italy's formation of a new government, ending
months of uncertainty and raising hopes for new policies to promote growth in
the euro zone's third-largest economy.
Pressure has grown on the European
Central Bank to lower interest rates with the euro zone mired in recession.
Money market traders are evenly split on whether the ECB will cut rates at its
meeting on Thursday, according to a Reuters poll.
Wall Street followed European stocks
higher as Italian Prime Minister Enrico Letta urged a focus on growth policies
and away from austerity measures in his inaugural speech.
"After the election there was a
lot of uncertainty about whether Italy could form a government, so now there is
not only a great deal of relief over that, but also expectations for additional
monetary policies from the ECB," said Alec Young, global equity strategist
at S&P Equity Research in New York.
The Dow Jones industrial average was up 106.20 points, or 0.72 percent, at 14,818.75. The Standard & Poor's
500 Index was up 11.37 points, or 0.72 percent, at
1,593.61. The Nasdaq Composite Index was up 27.76 points, or 0.85 percent, at 3,307.02.
The U.S. Federal Reserve will also
meet this week for a two-day session beginning on Tuesday. The Fed is expected
to maintain its stimulus policy. Data on Monday showing muted inflation gave
the Fed room for accommodative measures.
Oils - NEW YORK, April 29 (Reuters) - Oil
prices rose on Monday amid hope of further stimulus on both sides of the
Atlantic, with U.S. crude leading gains amid signs of improving demand and
growing exports.
Equities rallied and the dollar
faltered, further fuelling oil gains as traders looked ahead to key central
bank meetings. The Federal Reserve is expected to maintain its quantitative
easing program when it meets this week, and the European Central Bank (ECB) is
seen cutting interest rates on Thursday.
"We'll see if the measures are
enough to stimulate economic growth," said Gene McGillian, an analyst with
Tradition Energy in Stamford, Connecticut. "If not, the market's headed
back down again."
New York Mercantile Exchange June
crude futures ended the day $1.50 per barrel higher at
$94.50, aided by a break above the 40-day moving average on a continuation
chart.
Brent crude oil futures,
the international benchmark, settled 65 cents higher at $103.81 per barrel,
after hitting a low of $102.57.
CBOT Soybean - Chicago Board of Trade soybean futures closed higher on Monday on tight stocks of soy, slow farmer selling, strong
cash markets and on spillover buying from soaring corn, traders
said.
·
Support
also stemmed from the outside markets including higher
stock markets, a weak dollar, gains in crude oil and higher gold.
·
Expectations
for no soybean or soymeal to be delivered on the May
contract on Tuesday and lighter-than-usual amounts of soyoil
also lent support. Tuesday is first notice day for deliveries
on the May 2013 futures contracts.
·
Spot basis
bids for soybeans were mostly steady to higher in the
Midwest on Monday, bolstered by seasonally light offerings
from farmers and commercial elevators, grain buyers said.
·
Soy bids
continued to rise sharply at processors and elevators,
with bids jumping 10 cents to the highest level since September
2009, at a crushing plant in Cedar Rapids, Iowa, as supplies of
the oilseed dwindled due to strong soymeal demand.
·
Spot truck
and rail cash basis offers for soymeal kept climbing
on Monday due to tight stocks of soybeans, a lack of farmer
selling and near relentless demand for meal, dealers said.
·
Drier and
warmer weather early this week will allow U.S. farmers to
plant corn, which has been delayed by wet weather, but
another round of showers is expected beginning near midweek, an agricultural
meteorologist said on Monday.
·
Expected
hot and dry weather in May will increase risks to the grain
crop in Russia, which needs a good harvest after last year's drought,
data from the state weather forecaster showed on Monday.
·
A sharp
increase in air temperatures combined with a lack of rain
could damage Ukraine's spring and winter grain crops sown for
the 2013 harvest, a senior weather forecaster said on Monday.
·
Malaysian
palm oil futures lost ground on Monday after four
straight sessions of gains, although traders remained cautious
ahead of export data that could provide further trading cues.
BMD CPO - SINGAPORE, April 29 (Reuters) -
Malaysian palm oil futures lost ground on Monday after four straight sessions
of gains, although traders remained cautious ahead of export data that could
provide further trading cues.
The edible oil posted its first
weekly gain out of five last week, supported by rising Malaysian exports for
the first 25 days of the month thanks to stronger demand from India, Europe and
the United States.
The gains prompted some profit-taking
as the market lacked fresh stimulus, with the Chinese soybean oil market closed
for holiday and ahead of Malaysia's palm export data for the full month due on
Tuesday.
"The market is a bit quiet
today as the Dalian markets were closed. There's also exports data due on
Tuesday so traders are waiting for further direction on stocks," said a
trader with a foreign commodities brokerage in Kuala Lumpur.
The benchmark July contract on the Bursa Malaysia Derivatives Exchange fell 1.7 percent to close at 2,277
ringgit ($751) per tonne. Prices touched 2,334 ringgit on Friday, the highest
since April 12.
Total traded volumes were thin at
26,636 lots of 25 tonnes each, compared to the average 35,000 lots.
Investors are pinning their hopes on
healthy exports and lacklustre production to help cut stockpiles in Malaysia,
which eased from February's 2.43 million tonnes to 2.17 million tonnes last
month.
Lower palm oil inventory level could
provide support for palm oil prices, which have lost 6.6 percent so far this
year. Leading analyst Dorab Mistry forecast in March that prices could rise to
2,400 to 2,700 ringgit by the end of May, as weaker production speeds a fall in
stockpiles.
In other markets, Brent crude oil
slipped to $103 per barrel on Monday as an uncertain outlook for growth in the
world's two largest oil consumers, the United States and China, encouraged
commodities markets to consolidate.
In vegetable oil markets, U.S.
soyoil for July delivery fell 0.6 percent in late Asian trading. The
Dalian Commodities Exchange is closed for Labour Day and will only resume
trading on Thursday.
