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GLOBAL MARKETS-Stocks fall on disappointing results; yen jumps

Published 2016-07-21, 03:40 p/m
© Reuters.  GLOBAL MARKETS-Stocks fall on disappointing results; yen jumps
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* Intel's weakness knocks S&P from record high

* MSCI world equity index sags from 9-month peak

* Yen jumps as BOJ Kuroda downplays "helicopter money"

* Oil prices fall on record high U.S. inventories (Update market action, add quote)

By Richard Leong

NEW YORK, July 21 (Reuters) - Stock prices around the world fell on Thursday on disappointing earnings, while the yen jumped after Bank of Japan chief Haruhiko Kuroda said he saw no need to use "helicopter money" to boost the world's No. 3 economy.

The pullback in equity markets rekindled some safe-haven bids for U.S. Treasuries and other low-risk government debt, whose yields had risen from record lows linked to Britain's stunning vote to leave the European Union a month ago.

Oil prices declined after a rise in U.S. gasoline inventories pushed oil stockpiles to a record high, feeding uneasiness about a persisting global supply glut. market is just tired," said Stephen Massocca, chief investment officer of Wedbush Equity Management in San Francisco. "It's had a massive move in a straight line and so it is only natural to see some pullback here."

Dow and S&P stock indexes retreated from record highs as Intel INTC.O reported slowing revenue growth at its key data center, while European shares fell on weakness in airlines, led by a profit warning from Lufthansa LHAG.DE . late U.S. trading, the Dow Jones industrial average .DJI was down 110.4 points, or 0.59 percent, at 18,484.63, the S&P 500 .SPX was 11.05 points, or 0.51 percent, lower at 2,161.97 and the Nasdaq Composite .IXIC was down 23.65 points, or 0.46 percent, to 5,066.28.

Europe's broad FTSEurofirst 300 index .FTEU3 edged down 0.07 percent at 1,344.13.

The MSCI world equity index .MIWD00000PUS , which tracks shares in 45 nations, fell 0.67 points or 0.16 percent, to 412.15.

It faded from nine-month highs, cooled by signals from BOJ's Kuroda that its next shot of stimulus will not include hand-out 'helicopter money," effectively giving cash directly to the population, in a BBC radio interview. yen earlier touched a six-week low against the dollar and the Nikkei .N225 rose to a six-week high on reports of a 20-trillion-plus-yen Japanese stimulus package.

The Japanese currency, however, reversed course on Kuroda's remarks. It was last up 0.9 percent at 105.82 yen per dollar and nearly 1 percent stronger versus the euro at 116.56 yen.

The euro held steady against the greenback in a choppy session after the European Central Bank opted to keep its record-low interest rates on hold, as expected.

ECB President Mario Draghi said the bank would take time to the impact of Britain's decision to leave the EU. a prudent path until they see more data," said Minh Trang, senior currency trader at Silicon Valley Bank in Santa Clara, California.

The euro was up fractionally at $1.1020 EUR= after trading from $1.0981 to $1.1058. U.S. 10-year Treasury yield US10YT=RR ended down 2 basis points at 1.558 percent after hitting a near four-week high earlier Thursday. the oil market, Brent crude LCOc1 settled down 97 cents, or 2.06 percent, at $46.20 a barrel. U.S. crude CLc1 settled down $1, or 2.19 percent, at $44.75 per barrel. prices rebounded from a three-week low after the ECB left rates alone. Spot prices XAU= rose $16.45 or 1.25 percent, to $1,331.96 an ounce. ECB QE projections

http://link.reuters.com/dan83w Global assets in 2016

http://reut.rs/1WAiOSC Commodities performance

http://link.reuters.com/reb25t EM stocks performance in 2016

http://link.reuters.com/weh36s Currencies in 2016

http://link.reuters.com/tak27s

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