20100929 0912 Global Market News.

OIL: Crude gains as U.S. stockpiles drop
SINGAPORE, Sept 29 (Reuters) - Oil rose on Wednesday after an industry report showed crude and winter fuel stockpiles declined last week in top-consumer the United States, reducing a surplus that has weighed on market sentiment for months.
U.S. inventories of distillates, a fuel category that includes heating oil and diesel, unexpectedly dropped by 2.8 million barrels in the week to Sept. 24, pulling stockpiles 3.5 million barrels below year-ago levels, the American Petroleum Institute (API) reported late on Tuesday.

COMMODITY MARKETS: Gold extends record high streak, grains dive
NEW YORK, Sept 28 (Reuters) - A sliding dollar on Tuesday helped gold extend a record-setting streak that has seen the shiny metal gain nearly 20 percent this year and buoyed other commodities by discounting them for non-U.S. investors.
"The dollar falling has money fleeing into anything (such as) gold, energy," said Richard Ilczyszyn senior market strategist at Lind-Waldock in Chicago.

GLOBAL MARKETS: Dollar, pound fall, gold up on stimulus hopes
NEW YORK, Sept 28 (Reuters) - The U.S. dollar and the British pound fell against the euro on Tuesday as speculation rose those countries' central banks would provide more stimulus to their economies, which sent gold to record highs.
"For lack of a better term, it really is a 'classic QE day,'" said Tom Fitzpatrick, chief technical strategist at Citigroup in New York. "Bonds rally, equities rally, the dollar goes down and gold hits new highs. At this point, that is what's driving the markets."
 
PRECIOUS-Gold falls off record as dollar recovers
LONDON, Sept 28 (Reuters) - Gold fell on Tuesday as a recovery in the U.S. dollar weighed and as investors took profits after bidding the metal up to a record $1,300 an ounce in the previous session.
Silver was off a 30-year high, while platinum and palladium tracked stock markets lower.

FOREX-Euro recovers as dollar selling resumes
LONDON, Sept 28 (Reuters) - The struggling dollar slipped on Tuesday after a brief rally ran out of steam, while the euro recovered after a senior official said some European Central Bank emergency support may be withdrawn.
Traders also ascribed the dollar's drop to reported comments from a former Chinese central bank adviser who said a devaluation of the U.S. currency may be inevitable.

World stocks stabilise; euro firms after Stark
LONDON, Sept 28 (Reuters) - World stocks held steady on Tuesday as euro zone banking concerns offset optimism on the corporate sector, while the euro rose after a European Central Bank official pointed to the withdrawal of support measures next year.
The premium investors demand to hold Irish or Portuguese government bonds hit euro lifetime highs after Standard & Poor's warned it may cut Ireland's credit rating if the country poured more than 35 billion euros into Anglo Irish Bank.