European stocks fell for a second day, following Asian shares lower, amid speculation the Federal Reserve will curb its bond-buying program as soon as next month.

Officials will probably begin to reduce the buying next month, according to 65 percent of economists surveyed by Bloomberg on Aug. 9-13. The FOMC holds its next two-day meeting on Sept. 17-18.

National benchmark indexes dropped in 17 of the 18 western European markets. France’s CAC 40 Index slipped 1.4 percent, Germany’s DAX Index lost 0.8 percent and the U.K.’s FTSE 100 Index fell 0.2 percent.

BHP Billiton retreated 1.7 percent to 1,923.5 pence. The world’s biggest mining company said full-year profit slumped 30 percent after prices declined. Net income dropped to $10.9 billion in the year to June 30 from $15.4 billion a year ago. Profit, excluding one-time items, of $11.8 billion missed the $12.7 billion median forecast of analyst surveyed by Bloomberg.

Glencore Xstrata dropped 1.6 percent to 297.15 pence. The world’s biggest exporter of power station coal said first-half profit slid 39 percent and it wrote down the value of assets acquired in the Xstrata Plc takeover by $7.7 billion. Adjusted net income fell to $2.04 billion from $3.36 billion a year earlier, Glencore said. That still beat the $1.87 billion average estimate of six analysts surveyed by Bloomberg.

Deutsche Wohnen AG slipped 4.7 percent to 13.49 euros after it offered to buy GSW Immobilien AG in an all-share transaction that would create the second-largest owner of German homes. GSW jumped 6.3 percent to 33.45 euros, its highest price in almost three months.

Lindt gained 2.2 percent to 43,160 Swiss francs. The chocolate maker raised its profitability forecast after reporting first-half earnings that beat estimates as improving economic growth boosted consumption. The operating-margin increase this year will be near the upper end of a targeted 0.2 percentage-point to 0.4 percentage-point range. First-half net income rose 40 percent to 48.8 million Swiss francs ($53 million), beating the 44.3 million-franc average of five analyst estimates.

West Texas Intermediate crude fell for a second day amid speculation that the Federal Reserve will reduce stimulus measures next month, curbing investors’ appetite for commodities.

Futures slid as much as 1.8 percent. Minutes from the Fed’s July meeting, scheduled to be published tomorrow, will probably provide details about deliberations on when to taper $85 billion in monthly bond buying. Government data tomorrow may show that U.S. crude inventories shrank to the lowest level since September, a Bloomberg survey said.

Libya opened the oil ports of Brega and Hariga today, according to Oil and Gas Workers Union. Es Sider and Ras Lanuf ports remained closed.

Es Sider, the largest Libyan oil terminal with a capacity of 350,000 barrels of day, has been shut since July 28 because of the petroleum guard protest. State-run National Oil Corp. halted exports of crude and refined products from the Es Sider, Ras Lanuf, Zueitina and Brega terminals, according to a document obtained by Bloomberg.

The country produced 800,000 barrels a day last month, half the rate pumped a year earlier, according to a Bloomberg survey of output from the 12-member Organization of Petroleum Exporting Countries. Libya holds Africa’s largest oil reserves.

WTI for September delivery dropped 88 cents, or 0.8 percent, to $106.22 a barrel at 11:05 a.m. on the New York Mercantile Exchange. It slipped 0.3 percent yesterday, snapping a six-day rally that was the longest since April 25.

The September contract expires at the close of floor trading today. The more-active October contract decreased 70 cents to $106.16. Trading volume was about 7.1 percent below the 100-day average, according to data compiled by Bloomberg.

Brent for October settlement slid 26 cents to $109.64 on the London-based ICE Futures Europe exchange. Volume was 16 percent below 100-day average. Brent’s premium over WTI widened for the first time in three days to $3.48.

The value of gold is increasing on weaker dollar ahead of the publication of minutes of the last meeting of the Federal Open Market Federal Reserve. Investors expect that the protocols will clarify the situation with a program of bond purchases.

In addition, the pressure on the U.S. dollar index was weaker than the national activity Chicago Fed, which destroys the hopes of positive GDP data for the 2nd quarter, which will be published next week. National Activity Index Chicago Fed in July rose to -0.15 from -0.23 in June, while the less volatile moving average index for the three months increased to -0.15 from -0.24. July was the fifth month in a row that the index itself and its moving average are in negative territory, indicating growth below trend.

The cost of the October gold futures on COMEX today rose to $ 1377.20 per ounce.

EUR/USD $1.3225, $1.3300, $1.3350, $1.3400

USD/JPY Y97.00, Y98.00, Y98.25, Y98.40, Y98.50, Y99.00

GBP/USD $1.5575, $1.5635, $1.5640, $1.5645, $1.5650

USD/CHF Chf0.9200, Chf0.9300

AUD/USD $0.8900, $0.9170, $0.9180, $0.9200, $0.9250

NZD/USD $0.8100, $0.8200

USD/CAD C$1.0295, C$1.0350

EUR/NOK Nok7.8000, Nok7.8020

U.S. stock futures edged slightly higher, although there was little news to shake investors out of their recent downbeat mood amid speculation about when the U.S. will begin to tighten monetary policy.

Home Depot (HD)announced a gain in quarterly net profit and raised its guidance for 2013.

Global Stocks:

Nikkei  13,396.38 -361.75 -2.63%

Hang Seng 21,970.29 -493.41 -2.20%

Shanghai Composite 2,072.59 -13.01 -0.62%

FTSE  6,428.2 -37.53 -0.58%

CAC  4,025.28 -58.70 -1.44%

DAX 8,282.92 -83.37 -1.00%

Crude oil $105.83 -1.19%

Gold $1368.50 +0.21%

Upgrades:

Downgrades:

Wal-Mart (WMT) downgraded to Neutral at Susquehanna; tgt lowered to $79 from $85

Other:

Facebook (FB) initiated with Buy and $50 tgt at Janney

Data:

06:00 Germany Producer Price Index (MoM) Juli 0.0% +0.2% -0.1%

06:00 Germany Producer Price Index (YoY) Juli +0.6% +0.7% +0.5%

09:00 Eurozone Construction Output, m/m Juni +0.5% Revised From -0.3% +0.7%

09:00 Eurozone Construction Output, y/y Juni -5.1% -3.0%

The euro rose as a slide in stocks around the world fueled demand for the relative safety of the currencies versus emerging-market counterparts.

The yen strengthened against the dollar as Investor expectations of tapering from the Fed are leading to a rise in global yields and that’s making external financing challenging.

The Fed will publish minutes of its July meeting tomorrow that may offer clues as to whether policy makers will start reduce their $85 billion of monthly bond purchases as soon as their gathering in September. The Federal Open Market Committee holds its next meeting on Sept. 17-18.

EUR/USD: the pair shown high at $1.3406 and then retreated to $1.3380 area.

GBP/USD: $1.5680 area continued to be a stong resistance.

USD/JPY: the pair decreased to Y97.00 level.

EUR/USD

Offers $1.3440/50, $1.3415/20, $1.3410, $1.3395/400

Bids $1.3360/50, $1.3315/00, $1.3285/75, $1.3255/45

GBP/USD

Offers $1.5750/55, $1.5720/25, $1.5700, $1.5680

Bids $1.5630/25, $1.5610/00, $1.5580/70, $1.5555/50, $1.5505/00

AUD/USD

Offers $0.9230/40, $0.9195/00, $0.9180, $0.9150, $0.9120, $0.9090/00

Bids $0.9020, $0.9000, $0.8950, $0.8920, $0.8900

USD/JPY

Offers Y98.50, Y98.20/30, Y98.00, Y97.85/90, Y97.50/60

Bids Y96.80, Y96.60/50, Y96.00

EUR/JPY

Offers Y131.45/50, Y131.20, Y131.10, Y131.00

Bids Y130.05/00, Y129.50, Y129.20, Y129.00

EUR/GBP

Offers stg0.8580/85, stg0.8565/70

Bids stg0.8510/00, stg0.8485/80, stg0.8565/60, stg0.8420, stg0.8470

EUR/USD $1.3225, $1.3300, $1.3350, $1.3400

USD/JPY Y97.00, Y98.00, Y98.25, Y98.40, Y98.50, Y99.00

GBP/USD $1.5575, $1.5635, $1.5640, $1.5645, $1.5650

USD/CHF Chf0.9200, Chf0.9300

AUD/USD $0.8900, $0.9170, $0.9180, $0.9200, $0.9250

NZD/USD $0.8100, $0.8200

USD/CAD C$1.0295, C$1.0350

EUR/NOK Nok7.8000, Nok7.8020

Asian benchmark stock index headed for the lowest closing level in six weeks as investors sold riskier assets across the region and emerging markets as U.S. 10-year Treasury yields touched a two-year high.

Nikkei 225 13,396.38 -361.75 -2.63 %

Hang Seng 21,955.68 -508.02 -2.26 %

S&P/ASX 200 5,078.18 -34.35 -0.67 %

Shanghai Composite 2,072.59 -13.01 -0.62 %

QBE Insurance Group Ltd.sank 5.5 percent as first-half net income at Australia’s largest insurer by market value plunged 37 percent.

BHP Billiton Ltd. dropped 1.4 percent in Sydney before the world’s biggest mining company reported profit that missed analyst estimates.

Everbright Securities Co.  slumped 10 percent in Shanghai as trading resumed after a trading error at the Chinese brokerage whipsawed stocks last week.

01:30 Australia RBA Meeting's Minutes

03:00 New Zealand Expected Annual Inflation 2y from now Quarter III +2.1% +2.4%

04:30 Japan All Industry Activity Index, m/m July +1.1% -0.6% -0.6%

The euro traded near the highest level in more than a week before manufacturing and services data that may add to evidence of the region’s strengthening recovery from a six-quarter contraction. An index of activity in manufacturing and services in the euro area probably rose to 50.9 in August from 50.5 a month earlier, according to the median estimate of economists surveyed by Bloomberg News before an Aug. 22 report from London-based Markit Economics. A gauge of manufacturing in Germany, the region’s biggest economy, gained to 51.1 this month from 50.7 in July and the services index climbed to 51.7 from 51.3, a separate poll showed. Readings above 50 indicate expansion.

The 17-nation currency rose versus the yen after Germany’s Bundesbank said the European Central Bank may lift interest rates if inflation pressure mounts. The ECB’s commitment “is not an imperative statement, and it doesn’t represent a change” in the monetary policy stance, Germany’s central bank said yesterday in its monthly report. “Forward guidance doesn’t rule out an increase in the benchmark rate if greater inflation pressure emerges.”

The dollar held gains versus most major peers after Treasury yields climbed to a two-year high yesterday and as investors await Federal Reserve meeting minutes due tomorrow for clues on when it will reduce stimulus.

The Australian and New Zealand currencies slid after comments from the nation’s central banks. Minutes released today of the Reserve Bank of Australia’s Aug. 6 signaled further interest-rate cuts remain a possibility. Reserve Bank of New Zealand Governor Graeme Wheeler announced lending restrictions to curtail house prices and said the currency is “over-valued relative to what would be sustainable long-term.”

EUR / USD: during the Asian session the pair fell below Y97.30

GBP / USD: during the Asian session the pair traded in the range of $ 1.5635-55

USD / JPY: during the Asian session the pair

Data is limited on both sides of the Atlantic and largely second tier. Early data sees the release of the German July PPI data at 0900GMT. Analysts are looking for the monthly data coming in 0.2% higher on the month and 0.7% on year. Further eurozone data is set for release at 0900GMT, when the EMU construction output numbers will be released. With PMI numbers generally better in recent months, analysts are looking for the data to pick up on June's -0.3% m/m and -5.1% y/y.

There is another quiet calendar Thursday, with euro area legislators and central bankers again on the sidelines. Data is limited on both sides of the Atlantic and largely second tier. US data gets underway at 1145GMT with the release of the ICSC-Goldman Store Sales data for the August 17 week. Canadian numbers are expected at 1230GMT, when the June wholesale sales numbers will be released. Expectations are for a fall of 0.5% on the month. At 1255GMT, the Redbook Average data for the August 17 week are set to be published. There is also some Mexican data set for release, with the Q2 GDP data and the June Global economic activity IGAE numbers will cross the wires.

Change % Change Last

GOLD 1,367.50 -4.20 -0.31%

OIL (WTI) 107.00 -0.46 -0.43%

Nikkei 225 13,758.13 108,02 0,79%

Hang Seng 22,442.34 -75,47 -0,34%

S & P / ASX 200 5,112.53 -1.33 -0.03%

Shanghai Composite 2,085.6 17,15 0,83%

FTSE 100 6,465.52 -34.47 -0.53%

CAC 40 4,084.06 -39.83 -0.97%

DAX 8,367.21 -24.73 -0.29%

DJIA 15,010.70 -70.73 -0.47%

S&P 500 1,646.05  -9.78 -0.59%

NASDAQ 3,589.09 -13.69 -0.38%

(pare/closed(00:00 GMT +02:00)/change, %)

EUR/USD $1,3336 -0,10%

GBP/USD $1,5646 +0,01%

USD/CHF Chf0,9241 -0,18%

USD/JPY Y97,63 +0,38%

EUR/JPY Y130,21 +0,28%

GBP/JPY Y152,73 +0,39%

AUD/USD $0,9117 -0,23%

NZD/USD $0,8067 -0,06%

USD/CAD C$1,0344 +0,41%

01:30 Australia RBA Meeting's Minutes

03:00 New Zealand Expected Annual Inflation 2y from now Quarter III +2.1% +2.4%

04:30 Germany Producer Price Index (YoY) July +0.6% +0.7%

04:30 Japan All Industry Activity Index, m/m July +1.1% -0.6%

06:00 Germany Producer Price Index (MoM) July 0.0% +0.2%

09:00 Eurozone Construction Output, m/m June -0.3%

09:00 Eurozone Construction Output, y/y June -5.1%

12:30 Canada Wholesale Sales, m/m June +2.3% -0.5%

12:30 U.S. Chicago Federal National Activity Index July -0.13

20:30 U.S. API Crude Oil Inventories August -1.0