NEW YORK - US stocks closed modestly higher today as falling oil prices eased inflation fears and the market shrugged off an escalating deadly conflict between Russia and Georgia.
The Dow Jones industrial average rose 48.03, or 0.41 per cent to 11,782.35, after the blue chips’ 302-point jump on Friday.
The Standard & Poor’s 500 index rose nine, or 0.69 per cent to 1,305.32, while the NASDAQ rose 25.85, or 1.07 per cent to 2,439.9.
LONDON - Europe’s major stock markets gained ground on Monday, boosted by the weakening euro against the dollar, and as traders monitored escalating violence between Russia and Georgia.
In London the FTSE 100 index added 52.6 points, or 0.96 per cent, to close at 5,541.80.
FRANKFURT - The Dax ended 47.98 points higher, or 0.73 per cent, at 6,609.63.
PARIS - The CAC 40 rose 46.64 points, or 1.04 per cent, to 4,538.49.
TOKYO - Japanese share prices closed up 1.99 per cent on Monday supported by gains on Wall Street, a fresh fall in the cost of crude oil and a weaker yen, which is good for exporters.
The Tokyo Stock Exchange’s benchmark Nikkei 225 index rose 262.50 points to end at 13,430.91.
HONG KONG - Hong Kong share prices closed down 0.12 per cent on Monday, holding up despite a plunge in the Shanghai bourse.
The benchmark Hang Seng Index dropped 25.87 points to 21,859.34.
WELLINGTON - New Zealand shares closed up 0.37 per cent on Monday as investors took heart from a strong close on Wall Street at the end of last week.
The benchmark NZX 50 index rose 12.37 points to 3,370.19.
SYDNEY - The Australian stock market is expected to open marginally higher today after the return of volatility on Wall Street overnight, with all three major US indices see-sawing their way to positive closes.
At 0748 AEST, the Sydney Futures Exchange’s September share price index futures contract was 19 points higher at 5,040.
On the agenda today, National Australia Bank Ltd releases its monthly business survey for July, and a St George Bank Ltd provides an operational briefing.
In equities, Cochlear Ltd and WorleyParsons Ltd are to release annual results.
Dexion Ltd, APN News & Media Ltd and Australian Agricultural Co Ltd are to release interim results, and Optus parent Singapore Telecommunications Ltd is to provide results for the first quarter.
Adelaide Resources is having a general meeting.
The Australian share market closed up over half a per cent on Monday.
The benchmark S&P/ASX200 index rose 39.9 points to 5,026.1, while the broader All Ordinaries rose 31.7 points to 5,069.3.
NYMEX
Crude oil prices sank Monday as the market worried about weakening demand, particularly in the eurozone and China, after Chinese oil imports fell sharply.
New York’s main contract, light sweet crude for September delivery, fell 75 cents to close at $US114.45 a barrel.
The contract hit an intraday low of $US112.72, its lowest level since May 2.
In London, Brent North Sea crude for September delivery slipped 66 cents to settle at $US112.67. Its session low was $US111.07.
Fears of recession in the eurozone gained momentum on Monday after official data showed a sharp fall in French industrial production in June.
The market particularly focused on news that oil imports to China, the world’s second-thirstiest oil importer after the United States, fell seven per cent in July, the steepest decline since December.
Oil prices also fell as the US dollar strengthened, which makes dollar-priced commodities more expensive for buyers with weaker currencies.
COMEX
Energy and metals prices fell again, widening last week’s sharp losses as the dollar regained more ground against other major world currencies.
The metals markets also saw big sell-offs last week, with gold dropping 5.7 per cent, silver declining 12.5 per cent, and copper losing 6.9 per cent.
Precious metals sank again in trading Monday, as the US dollar moved higher against the euro and pound.
Gold for December delivery lost $US36.50 to settle at $US828.30 an ounce on the NYMEX. Silver for September delivery fell 71 cents to settle at $US14.62 an ounce on the NYMEX.
In base metals, September copper fell 4.13 cents to settle at $US3.2915 a pound.
Grain prices finished mixed Monday in trading made erratic by speculative buying ahead of Tuesday’s crop report from the US Department of Agriculture.
Wheat and soybean prices jumped, but corn finished lower, dragged down by a selloff in crude oil prices.
Because corn is the main ingredient in ethanol, its price is often affected by the energy markets.
