MARKETS / FINANCE

Slowly China is beating India in gold business and the Dragon land is making considerable progress in the yellow metal trade. As part of its strategy to expand the gold business, China has allowed more banks to import and export gold.

The dollar neared a 15-year low against the yen on Wednesday, staying under pressure across the board as weak U.S. data and talk of further policy easing from the Federal Reserve weighed on Treasury yields.

Oil fell on Wednesday for the first day in five as a rally that powered prices to three-month highs near $83 a day earlier lost steam, with little reaction to an attack on Iranian President Mahmoud Ahmadinejad.

Gold rose above $1,190 an ounce in Europe on Wednesday, benefiting from softer appetite for assets such as stocks and hopes for a rise in Asian demand, though an ongoing dearth of safe-haven demand capped gains. Spot gold rose to a high of $1,197.05 an ounce, its strongest since July 23, and was bid at $1,194.95 an ounce at 5:37 a.m. ET versus $1,185.35 late in New York on Tuesday. U.S. gold futures for December delivery rose $9.60 to $1,197.10.

More of Europe's top banks beat earnings forecasts on Wednesday, as bad debts shrank more than expected in the first half, outweighing a slowdown in investment banking, which was hit by sovereign debt fears.

The yen rose toward a 15-year high against the dollar on Wednesday, sending benchmark government bond yields below 1 percent and adding pressure on Japanese policymakers to keep the fragile economic recovery on course.

U.S. stock index futures pointed to a lower open for Wall Street on Wednesday, after disappointing housing and consumer spending data released a day earlier prompted some worries over the pace of economic recovery.

French bank Societe Generale warned the economic recovery was still fragile, with moderate growth prospects in Europe, after it beat forecasts with an almost fourfold leap in second-quarter net profit.

French bank Societe Generale warned the economic recovery was still fragile, with moderate growth prospects in Europe, after it beat forecasts with an almost fourfold leap in second-quarter net profit.

Lloyds , Britain's biggest retail bank which was part-nationalized during the credit crisis, returned to profit in the first half of 2010 from a loss a year earlier after lower bad debt charges boosted earnings.

Global shares fell and the dollar headed toward a 15-year low against the yen on Wednesday on growing concern about the U.S. economy as recent data has sparked talk of more monetary easing by the Federal Reserve.

Oil fell on Wednesday for the first day in five as a rally that powered prices to three-month highs near $83 a day earlier lost steam, while industry data showed U.S. gasoline stockpiles rose unexpectedly last week.

French bank Societe Generale beat forecasts with an almost fourfold leap in second-quarter net profit as lighter loan-loss provisions and toxic assets helped offset weaker investment banking revenue.

Japanese stocks fell behind their Asian peers and slid 2 percent on Wednesday as the yen climbed toward 15-year highs against the U.S. dollar after weak U.S. data spurred talk of more Federal Reserve easing.

FGIC Corp filed for bankruptcy protection late on Tuesday, saying it was not paid dividends by its troubled bond insurance unit Financial Guaranty Insurance Company since the onset of the financial crisis more than two years ago, court documents showed.

Gold prices climbed in Asian trade Wednesday after reports said China, the world's largest gold producer, decided to expand its market. Spot gold was seen trading at $1192.01 an ounce at 12.00 noon Singapore time while December-delivery futures was at $1195.30 an ounce on the Comex division on Nymex.

Australia's official economic data is struggling to capture growing online sales as the country's consumers belatedly embrace e-commerce, suggesting that soft retail trade data is missing part of a fast-growing market.

Oil fell on Wednesday for the first day in five as a rally that powered prices to three-month highs near $83 a day earlier lost steam, while industry data showed U.S. gasoline stockpiles rose unexpectedly last week. The dollar hovered near a three-month trough against the euro following Tuesday's data showing U.S. consumer spending and incomes were flat in June and the index for pending sales of previously owned homes fell to a record low.

Gold extended gains and rose to its strongest in a week on Wednesday as investors shifted out of equities after poor U.S. data sparked concerns about the health of the global economy.

The yuan held flat against the dollar on Wednesday and its performance lagged far behind the global fall in the U.S. dollar index .DXY, which has broken through a major 200-day moving average support. The market's enthusiasm over yuan appreciation from a sliding dollar was dampened by the People's Bank of China's clear signal it does not want the yuan to move widely despite dollar weakness.

The dollar hit an eight-month trough against the yen on Wednesday, crawling towards its lowest level since 1995, as weak U.S. data and talk of the Federal Reserve embarking on further policy easing pushed down Treasury yields.

The killing of former Lebanese Prime Minister Rafik Hariri was until recently widely believed to have been perpetrated by the Syrians, or at least on their behalf. It was the assassination of Mr. Hariri that led to the forced departure of Syrian troops from Lebanon as a result of international pressure and wide-ranging opposition from the Lebanese street.

(Corrects name in paragraph 5 to Hassan Ahmed from Charles Neivert)

The Australian Dollar fell below 0.9100 US earlier in the day following an unexpected decline of -3.3% in June building approvals.

The Australian Dollar has opened above USD0.9100 after a night in which ambiguity and uncertainty presented themselves to the markets again.

Dow Chemical Co , the biggest U.S. chemical maker, posted a lower-than-expected quarterly profit on Tuesday as it idled several plants to retool for higher production rates, sending shares down nearly 9 percent.

Stocks slipped on Tuesday as Dow component Procter & Gamble Co.'s lackluster results, coupled with weaker-than-estimated data on consumer spending and housing, prompted investors to exercise caution a day after the market's 2 percent rally.

Stocks fell on Tuesday after disappointing results from Dow component Procter & Gamble and weak economic data, but a bullish profit and outlook from Pfizer, the world's largest drugmaker, helped limit losses.

Stocks slipped on Tuesday after disappointing results from Dow component Procter & Gamble and some discouraging economic data, but robust earnings from drug giant Pfizer limited the market's decline.