PORTUGAL

The leaders of Germany and France clinched agreement on a joint European-IMF financial safety net for debt-stricken Greece just before an EU summit on Thursday, the French president's office said.

Over the past 18 months, the inverse relationship between the US dollar and global equities markets has proven to be the single constant in an otherwise uncertain economic climate. When equities markets reached their nadir in March, 2009, the US dollar was sitting atop its highest levels, though much of that value would be lost in the equities-rebound that would follow.

EU leaders edged toward consensus on a financial safety net for Greece on strict German conditions ahead of a key summit Thursday after the European Central Bank threw Athens a major reprieve on funding rules.

EU leaders appeared to be nearing consensus on an aid mechanism for Greece based on strict German terms before a high-stakes summit on Thursday and Athens won a reprieve when the European Central Bank extended looser funding rules.

Stock index futures rose on Thursday as sovereign debt concerns remained in focus ahead of a meeting of European leaders to help Greece, while investors awaited data on first-time U.S. jobless claims.

German Chancellor Angela Merkel backed aid for Greece with IMF involvement as a last resort on Thursday, and the European Central Bank extended looser funding rules in a big reprieve for Athens.

European Union leaders were striving on Thursday to reach a last-minute agreement on how to help Greece resolve its debt crisis and reassure investors before what was likely to be a tense summit.

The euro fell to a new 10-month low against the dollar on Thursday as Portugal's credit downgrade added to worries about debt in Greece and elsewhere in Europe, hitting riskier assets such as shares and commodities.

Sales of newly built homes fell for a fourth straight month to a record low in February, but another rise in new orders for durable goods offered assurance the economic recovery was on course.

The euro hovered near 10-month lows on Thursday as a credit downgrade on Portugal added to worries about debt levels in Greece and other parts of Europe, weighing on riskier assets such as shares and commodities.

Despite several attempts to recapture the 92 cent level in Asia yesterday the Aussie dollar retreated and opens this morning back below 91 cents on technical support at 0.9080.

Stocks fell on Wednesday as Portugal's credit rating downgrade and a weak Treasury note auction stirred concerns about sovereign debt.

Stocks fell on Wednesday, threatening to end a string of gains, after Fitch Ratings cut Portugal's credit rating on deficit concerns in the latest sign of worsening sovereign debt problems in Europe.

Sales of newly built U.S. homes fell for a fourth straight month to a record low in February, but another rise in new orders for durable goods offered assurance that the economic recovery was on course.

U.S. stocks slipped on Wednesday after Portugal's credit rating was cut on deficit concerns, prompting a sell-off after the recent rally.

Fitch Ratings cut Portugal's sovereign credit rating by one notch to AA- on Wednesday, citing budgetary underperformance in 2009 and warning that a similar outcome this year and next could cause another downgrade.

Stocks fell on Wednesday after Portugal's credit rating was downgraded on budget concerns, prompting investors to pull back after recent gains.

* COMEX April GCJ0 down $12.20 at $1,091.50 an ounce at 9:48 a.m. EDT (1348 GMT). * Ranged $1,106 to $1,087.80 - lowest since Feb. 12. * Gold pressured as dollar jumped over 1 percent against the euro and a basket of currencies .DXY. [USD/] * Weak euro, losses in equities markets drag gold lower - Peter Buchanan, senior economist at CIBC World Markets. * U.S. currency extends gains after data showed new orders for durable goods rose for third straight month in February.

Wall Street was poised to open lower on Wednesday after Portugal was downgraded one notch on budget concerns, amplifying jitters about the sovereign debt troubles of some European countries.

U.S. stock index futures fell on Wednesday after Portugal's sovereign credit rating was downgraded one notch on budget concerns.

Stock index futures pointed to a lower open on Wall Street on Wednesday, with futures for the S&P 500 down 0.6 percent, Dow Jones futures down 0.3 percent and Nasdaq 100 futures down 0.4 percent.