* U.S. dollar gains on strong factory data; Treasury yields
* Colombian peso slumps after voters reject peace agreement
* Oil rises as non-OPEC producers called for support
(Updates to U.S. market close)
By Rodrigo Campos
NEW YORK, Oct 3 An index of stocks across the
world ended flat on Monday while Wall Street dipped, and oil
prices rose to a three-month high after Iran's leader called on
non-OPEC producers to help support prices.
The U.S. dollar rose against a basket of its peers after
strong manufacturing data, sterling brushed against a
three-decade low versus the greenback and the Colombian peso
fell after voters rejected a peace deal to end a more than
Traders were on the lookout for news from Deutsche Bank,
which is working to reach a settlement with U.S. authorities who
have demanded a fine of up to $14 billion for the way the bank
sold toxic mortgage-backed securities.
The German stock market was closed on Monday but Deutsche's
U.S.-listed shares fell as much as 3.7 percent. The stock
ended down 0.8 percent at $12.98 after hitting last week
$11.185, a record low.
"The feeling is there will be a negotiation lowering that
penalty but it's certainly a bit of an overhang on the overall
market," said Tim Ghriskey, chief investment officer of Solaris
Group in Bedford Hills, New York.
The Dow Jones industrial average fell 54.3 points, or
0.3 percent, to 18,253.85, the S&P 500 lost 7.07 points,
or 0.33 percent, to 2,161.2 and the Nasdaq Composite
dropped 11.13 points, or 0.21 percent, to 5,300.87.
The pan-European STOXX 600 index ticked up less
than 0.1 percent and the FTSEurofirst 300 index ended
flat. MSCI's gauge of stocks across the globe
dipped 0.05 percent.
Crude futures prices rose, taking Brent above $50 a barrel
and U.S. crude to three-month highs after comments by Iran's
leader exhorting the need for other oil producers to join OPEC
in supporting the market.
"There's already a soft commitment from Russia that it will
be part of the OPEC plan and if more non-OPEC members get on
board, prices can only go higher," said Phil Flynn, analyst at
the Price Futures Group brokerage in Chicago.
U.S. crude was up 0.9 percent at $48.66 a barrel and
Brent last traded at $50.81, up 1.2 percent on the day.
Sterling fell 1 percent against the dollar to its lowest
since July, touching a low of $1.2815 and slightly above
a 31-year low of $1.2796 after Britain on Sunday set a March
deadline to start the process to leave the European Union. It
also hit a three-year low against the euro of 87.47 pence per
The Colombian peso fell as much as 2.8 percent versus
the dollar after voters rejected a hard-negotiated deal between
the government and Marxist guerrillas to end a 52-year war. The
currency ended down 1.65 percent.
The dollar index, which measures the greenback against a
basket of six major currencies, gained on data showing the U.S.
manufacturing sector grew by more than expected in September.
The index was last up 0.3 percent.
The manufacturing data boosted expectations that the Federal
Reserve would raise interest rates by December, sending U.S.
Treasury yields higher.
Benchmark 10-year notes fell 6/32 in price to
yield 1.6256 percent, up from 1.606 percent on Friday.
Spot gold prices fell $3.80 or 0.3 percent, to $1,312
(Additional reporting by Richard Leong, Barani Krishnan, Noel
Randewich and Karen Brettell; Editing by Meredith Mazzilli and