DJI- NEW YORK, April 23 (Reuters) - U.S. stocks fell on Monday as political turmoil in Europe cast doubts on the euro zone's ability to push through measures to end its debt crisis and as Wal-Mart sank following a report it stymied a bribery probe.
The Dutch prime minister tendered his government's resignation on Monday after Dutch officials failed to agree on budget cuts. Adding to the uncertainty was a Sunday vote in France that threw the presidential race wide open. [ID:nL5E8FN1WN] [ID:nL5E8FM30Q]
The renewed worries came as the euro zone's business slump deepened at a far faster pace than expected in April. [ID:nL3E8FN7JT] The Markit PMI fell to a five-month low, confounding forecasts for a rise. Europe's debt crisis has been a major headwind for U.S. equities as investors worried it could hurt corporate profits. Bank shares were hit by the concern, including Morgan Stanley , which fell 2.9 percent to $16.98. The KBW bank index <.BKX> fell 0.6 percent.
"It's becoming clear the euro zone is in a recession, and that brings a lot of concerns. To really get out of the debt problem, you need growth, and we haven't gotten to that step yet,"sai d Hank Smith, chief investment officer at Haverford Trust Co. in Philadelphia.
Wal-Mart Stores Inc slumped 4.7 percent to $59.54 and was the biggest drag on the Dow after the New York Times reported Wal-Mart officials stymied an internal investigation into bribery allegations at its Mexican unit, Walmart de Mexico . Those shares dropped 12 percent to 37.82 pesos.
The sell-off was broad with almost 3 stocks on the New York Stock Exchange falling for each one that rose, and the economically sensitive S&P materials sector <.GSPM> was among the worst performing areas, down 1.4 percent.
The Dow Jones industrial average <.DJI> was down 102.09 points, or 0.78 percent, at 12,927.17. The Standard & Poor's 500 Index <.SPX> was down 11.59 points, or 0.84 percent, at 1,366.94. The Nasdaq Composite Index <.IXIC> was down 30.00 points, or 1.00 percent, at 2,970.45.
NYMEX- NEW YORK, April 23 (Reuters) - U.S. crude futures fell on Monday on pressure from revived concerns about the euro zone economy and political uncertainty, while a North Sea production problem and worries about Iran and potential supply disruptions helped limit losses.
Politics added uncertainty after the Socialist challenger edged out French President Nicolas Sarkozy, leaving the two to fight a May 6 election run-off, while the Dutch government was set to resign in a crisis over budget cuts. [ID:nL5E8FN040] [ID:nL5E8FM3ER]
Crude futures' losses, especially for Brent crude, were limited by news that production stopped at the North Sea Buzzard oil field, Britain's largest, following a problem with a gas compressor over the weekend.
Output is expected to "ramp up" over the next 24-48 hours according to a spokeswoman for operator Nexen . [ID:nL5E8FN8R0]
Oil markets continued to be buffeted by competing concerns about slowing economic growth and potential for supply disruptions following the sharp price rise in the first quarter as U.S. and European tightened sanctions on Iran aimed at curbing its nuclear program by limiting oil exports and revenues.
* On the New York Mercantile Exchange, June crude fell 77 cents, or 0.74 percent, to settle at $103.11 a barrel, having traded from $101.82 to $103.98.
* China's March crude oil imports from Iran fell 54.1 percent from a year earlier to 253,302 barrels per day, customs data showed, due to pricing disputes over term contracts, with Beijing boosting shipments from elsewhere to fill the gap. [ID:nL3E8FN5SJ]
* Sunoco Inc announced exclusive talks with private equity firm Carlyle Group LP on a potential joint venture to run the biggest refinery on the U.S. East Coast, saying it would delay a planned closure of the Philadelphia plant by a month. [ID:nL2E8FN1M7]
* Greece's ruling partners, the only two major parties that back the EU/IMF bailout plan, could gather just enough votes to form a coalition government, the last polls to be published before the election on May 6 showed. [ID:nL6E8FKHDF]
* Leading world economies on Friday pledged $430 billion in new funding for the International Monetary Fund, more than doubling its lending power in a bid to protect the global economy from the euro-zone debt crisis. [ID:nL2E8FK0TS]
SOYBEAN CBOT- Chicago Board of Trade soybean futures fell on profit-taking and long liquidation after a 2 percent rally on Friday.
* Spillover weakness from U.S. crude oil futures added pressure.
* Robust export demand for U.S. soybeans and concerns about the size of South America's soy harvest continue to underpin the market. USDA confirmed sales of 165,000 tonnes of U.S. soybeans to an unknown destination for 2011/12 delivery.
* However, USDA reported export inspections of U.S. soybeans in the latest week at 12.005 million bushels, well below trade expectations for 21 million to 24 million bushels.
* Large speculators boosted their net long position in CBOT soybeans to a record 209,907 contracts as of last Tuesday, CFTC data showed, leaving the market vulnerable to long liquidation. [ID:nL2E8FKBQ0]
* A Reuters poll of 10 analysts indicated the USDA on Monday would show U.S. 2012 soybean planting at a record 4 percent complete. USDA has only released its estimate of soybean planting for the third week in April once before, in 2007. [nL2E8FN4FE]
* Dry weather this week in the Midwest should allow rapid corn and soybean planting followed by rainfall by the weekend and a potential cold snap.
* Analysts at Celeres said Brazil's soybean harvest reached 93 percent of the crop area as of April 20, up from 88 percent a week earlier. Sales rose to 75 percent of the total expected
production, from 72 percent the prior week. [ID:nL2E8FN73P]
* Trade expects Statistics Canada to project record-large canola seedings in its planting intentions report on Tuesday. The average estimate for Canadian canola seedings among analysts surveyed by Reuters was 20.6 million acres. [ID:nL2E8FDASE]
FCPO- KUALA LUMPUR, April 23 (Reuters) - Malaysian palm oil fell on Monday after a slew of European indicators signaled a faster rate of economic contraction and limited hopes for a strong recovery in growth.
Losses, however, were limited by expectations that big food consumers will lift demand for the tropical oil in the wake of higher soyoil prices after droughts crimped South America's soy crop.
The palm oil market has gained more than 9 percent this year on strong food demand, lower stocks in No.2 producer Malaysia and weaker global edible oil production after a drought hurt South American soy crops.
"The purchasing managers' indexes for the euro zone were rather dismal and that triggered a knee-jerk reaction in financial markets. Palm oil was not spared because some dealers wanted to book some profits," said a trader with a foreign commodities brokerage.
Benchmark July palm oil futures on the Bursa Malaysia Derivatives Exchange dropped 0.7 percent to close at 3,475 ringgit ($1,133) per tonne.
Traded volumes stood at 26,086 lots of 25 tonnes each, a tad higher than the usual 25,000 lots.
Although weaker Purchasing Manager Indexes for Germany, France and the euro zone has dampened hopes for a strong global economic recovery, some traders were focusing on tighter edible oil supplies that may be inadequate to sate food demand.
Argentina cut its official estimate for this year's soy crop last Thursday, and many traders expect the U.S. Agriculture
Department to slash its own estimates in its supply-and-demand report due early next month.
Argentina's Agriculture Ministry has pegged the soy crop at 42.9 million tonnes, compared to the latest USDA estimate of 45 million tonnes. A reduced soy crop for crushing into soyoil will tip demand over to palm oil. [ID:nL2E8FJBMW]
As a result, Malaysian palm oil exports for April 1-20 fell 5.3 percent from a month earlier, a marked improvement from a 13.5 percent drop in the first 15 days of this month due in part to stronger demand from India.
REGIONAL EQUITY- April 23 (Reuters) - Most Southeast Asian markets extended losses on Monday for a third day running on renewed worries over the euro zone debt crisis and further signs of weakness in European economies.
Singapore <.FTSTI> fell 1.1 percent to a near two-week low in thin trade and Thailand <.SETI> eased 0.4 percent from a two-week high, led by energy shares.
Indonesia <.JKSE> ended down 0.6 percent at a one-week low in heavy volume, with $7.2 million of foreign outflows, after credit rating agency Standard and Poor's said it was not prepared to upgrade the country's sovereign rating to investment grade status, as had been widely expected.
S&P maintained its positive outlook on the rating, but said it was concerned by signs of "policy slippages". [ID:nL3E8FN279]
Despite $28.6 million of foreign inflows, Malaysia <.KLSE> fell 0.5 percent to its lowest since March 26, while Vietnam <.VNI> edged down 0.1 percent in light volume.
Bucking the trend, the Philippines <.PSI> inched up 0.1 percent in improved volume compared to the market's 30-day average volume.
Regional markets reacted positively to a survey that showed China's factory activity was stabilising, but were hit by late selling as European markets and U.S. stock futures fell.
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