* Wall St slides on weak data, mixed bank earnings
* Dollar falls as weak U.S., Chinese data seen restraining
Fed
* Bond yields dip after data suggests Fed to delay rate hike
* Oil eases falls below $50 on oversupply, China growth
concern
(Adds U.S. markets open, byline, dateline; previous LONDON)
By Herbert Lash
NEW YORK, Oct 14 (Reuters) - Global equity markets slid for
a second day and the dollar eased to its lowest in almost a
month on Wednesday as weak U.S. retail sales and a decline in
producer prices added to expectations the Federal Reserve will
not raise interest rates anytime soon.
Mixed earnings from major U.S. banks, limp inflation figures
from China and further declines in commodities also helped
dampen the appetite for stocks and the dollar.
U.S. retail sales rose 0.1 percent last month as cheaper
gasoline weighed on service station receipts, while sales in
August were revised down to unchanged from a prior rise of 0.2
percent, the Commerce Department said. urn:newsml:reuters.com:*:nL1N12E0UR
In a separate report, producer prices fell 0.5 percent last
month, the largest drop since January, the Labor Department
said. The index fell 1.1 percent in the 12 months through
September, its eighth straight 12-month decrease.
The two reports were the latest signs that the U.S. economy
was losing momentum in the face of slowing global growth, a
strong dollar and lower oil prices. Job growth in the United
States braked sharply in the past two months.
"There's some disappointment about the retail number, and
the mixed picture in banks," said Rick Meckler, president of
hedge fund LibertyView Capital Management LLC in Jersey City,
New Jersey.
"We're in that point where we rallied off the low and the
next step is less certain. The corporate earnings will probably
help decide it, but we're only at the beginning of the reporting
period," Meckler said.
MSCI's all-country world index .MIWD00000PUS of the equity
performance of 46 countries fell 0.38 percent, while the
pan-regional FTSEurofirst 300 .FTEU3 index in Europe fell 0.72
percent.
Stocks on Wall Street also declined. The Dow Jones
industrial average .DJI fell 96.11 points, or 0.56 percent, to
16,985.78. The S&P 500 .SPX slid 7.6 points, or 0.38 percent,
to 1,996.09 and the Nasdaq Composite .IXIC lost 15.47 points,
or 0.32 percent, to 4,781.14.
Among banks, JPMorgan (N:JPM) JPM.N shares fell 2.7 percent to
$59.87, a day after the bank reported third-quarter results that
fell short of estimates. urn:newsml:reuters.com:*:nL3N12D5OO
Wells Fargo (N:WFC) WFC.N fell 1.0 percent to $51.36, while Bank
of America BAC.N rose 1.0 percent to $15.66 after the bank
reported a profit, compared with a year-earlier loss.
The dollar fell to a 3-1/2-week low against a basket of
currencies as signs of slowing growth may cause Fed policymakers
to abandon plans for a possible rate increase later this year
until they see evidence of improving U.S. demand and inflation.
"The dollar is weakening because of the expectations that a
Fed rate hike is being pushed further and further out," said
Michael Arone, chief investment strategist at State Street
Global Advisors' U.S. Intermediary Business in Boston.
The dollar index .DXY was last down 0.55 percent at
94.240. Against the yen, the dollar fell 0.53 percent to 119.10
yen JPY= , while the euro reached a 3-1/2-week high against the
greenback. It was last up 0.58 percent at $1.1442 EUR= .
Oil eased further below $50 a barrel, falling for a third
day on concern a supply glut will persist and demand will slow
as economic growth moderates in No. 2 consumer China.
Brent LCOc1 crude was down 24 cents at $49.00 a barrel.
Prices have more than halved from June 2014. U.S. crude CLc1
fell 39 cents to $46.27 a barrel.
U.S. Treasury yields slumped to their lowest in over a week
on views the Fed will delay a rate hike until 2016.
Rates futures showed traders anticipate the first Fed rate
increase since 2006 would occur at the Federal Open Market
Committee meeting in March 2016.
Prices on 10-year Treasuries US10YT=RR were up 15/32 to
yield 2.0016 percent, after the yield fell to 1.996 earlier.