20100909 1132 Global Market News.

COMMODITY MARKETS: Stocks, euro rise on Europe relief
NEW YORK, Sept 8 (Reuters) - U.S. and European stock markets rose on Wednesday as worries about Europe's debt problems eased, allowing the euro to recover part of Tuesday's losses.
"The Portuguese debt auction was perceived well and has helped the market," said Philippe Gijsels, head of research at BNP Paribas Fortis Global Markets in Brussels.

Dollar to maintain its dominance -China minister
XIAMEN, China, Sept 8 (Reuters) - The dollar will remain the world's dominant currency for a long time, and the yuan will only gradually emerge as an alternative, Chinese Commerce Minister Chen Deming said on Wednesday.
China has surprised observers in recent months with a rapid succession of policies to promote the yuan's use overseas, but Chen cautioned against heightened expectations, saying that these moves had been limited and regional in focus.

Japan capex stabilising, strong yen a threat
TOKYO, Sept 8 (Reuters) - Japanese machinery orders surged by the most in seven months in July, but economists worry that a surging yen and a slowdown in overseas economies could snuff out a gradual recovery in capital expenditure.
Second-quarter gross domestic product growth is likely to be revised up on Friday as corporate spending grew faster than initially estimated, although the financial markets are focused on worries about the outlook.

PRECIOUS-Gold rises on bank scare; holds near lifetime high
SINGAPORE, Sept 8 (Reuters) - Gold gained on Wednesday, within sight of a 2-month high hit the previous day, as global stocks tumbled and the euro slipped on renewed fears about the health of the global economy.
"There's a possibility that we'll see gold breaching the $1,260 level," said Ong Yi Ling, an investment analyst at Phillip Futures in Singapore.

FOREX-Yen tests Japanese resolve, Swiss franc buoyant
LONDON, Sept 8 (Reuters) - The yen struck a fresh 15-year high against the dollar and the Swiss franc hit an all-time peak versus the euro on Wednesday as a flare-up in worries over euro zone banks and sovereign debt led investors into safe havens.
"There's been intensification in verbal rhetoric from Japan but I don't think they will intervene here. The serious intervention risk comes in below 80 yen," said Manuel Oliveri, currency strategist at UBS in Zurich.

Skittish investors lift Europe stocks, hit dlr
LONDON, Sept 8 (Reuters) - World shares were generally weaker  but gaining in Europe, subject to another bout of on-again, off-again investor jitters, this time about European banks.
"Profits generally from active traders have been pretty soft so they are trying to eke out a positive return but they are also wary of ending down for the year," said Jeremy Armitage, head of research at State Street Global Markets.