(Updates prices, changes comment, dateline; previous LONDON)
* Crude prices wobble with risk appetite
* Japan stocks rally; Asia boosts EM equities
By Rodrigo Campos
NEW YORK, March 6 (Reuters) - The U.S. dollar dropped to atwo-week low on Tuesday as traders bet on riskier currencies onnews North and South Korea would hold their first summit in morethan a decade and after the South said the North was willing todiscuss denuclearization with the United States.
The impact on stock markets of the news from the KoreanPeninsula was clouded by concern over a possible trade wartriggered by tariffs proposed by President Donald Trump lastweek on imports of steel and aluminium. and South Korea, still technically at war but withtensions having eased since the Winter Olympics hosted by theSouth last month, will hold their first summit in more than adecade next month, South Korea said on Tuesday. It added thatthe North would suspend nuclear tests while proposed talks withthe United States on denuclearization were underway. safe-haven holdings of the greenback and a renewedappetite for the Australian dollar, New Zealand dollar andemerging market currencies were limited by worries about a tradewar stemming from Trump's proposed tariffs.
"It's too early to wholeheartedly buy these currenciesbecause of the chances of escalating trade tension between U.S.and its trading partners," said Omer Esiner, chief marketanalyst at Commonwealth Foreign Exchange in Washington.
The dollar index .DXY , tracking it against a basket ofmajor currencies, fell 0.5 percent, with the euro EUR= up 0.53percent at $1.24. The dollar index touched its lowest since Feb.20.
The Japanese yen strengthened 0.12 percent versus thegreenback to 106.07 per dollar, while sterling GBP= was at$1.3873, up 0.18 percent on the day.
News on the Koreas summit also helped reduce demand forsafe-haven U.S. bonds, which were trading in a tighter rangeafter benchmark yields rose Friday and Monday.
Benchmark 10-year notes US10YT=RR last rose 3/32 in priceto yield 2.868 percent, from 2.879 percent late on Monday.
The 30-year bond US30YT=RR last rose 11/32 in price toyield 3.1325 percent, from 3.151 percent late on Monday.
Hedging needs as CVS Health Corp (NYSE:CVS) announced a nine-partcorporate bond sale were also seen as weighing on bonds. fell in the United States and edged higher in Europe,but a global gauge of major equity markets was up, boosted bygains in Asia after stocks were battered Monday on concerns overa global trade war. Those worries eased during U.S. market hourson Monday, so Asian equities were catching up.
The Dow Jones Industrial Average .DJI fell 105.77 points,or 0.43 percent, to 24,768.99, the S&P 500 .SPX lost 0.91points, or 0.03 percent, to 2,720.03 and the Nasdaq Composite .IXIC added 21.73 points, or 0.3 percent, to 7,352.43.
The pan-European FTSEurofirst 300 index .FTEU3 rose 0.17percent and MSCI's gauge of stocks across the globe .MIWD00000PUS gained 0.51 percent.
Emerging market stocks rose 1.78 percent. MSCI's broadestindex of Asia-Pacific shares outside Japan .MIAPJ0000PUS closed 1.84 percent higher, while Japan's Nikkei .N225 rose1.79 percent.
U.S. crude CLcv1 fell 0.38 percent to $62.33 per barreland Brent LCOcv1 was last at $65.55, up 0.02 percent.
Spot gold XAU= added 1.2 percent to $1,335.26 an ounce.U.S. gold futures GCcv1 gained 1.27 percent to $1,336.70 anounce.
Copper CMCU3 rose 1.27 percent to $6,998.00 a tonne.
<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^Global assets in 2018
http://tmsnrt.rs/2jvdmXlGlobal currencies vs. dollar
http://tmsnrt.rs/2egbfVhGlobal bonds dashboard (DO NOT USE UNTIL UPDATE FOUND)
http://tmsnrt.rs/2fPTds0Emerging markets in 2018
http://tmsnrt.rs/2ihRugVMSCI All Country Wolrd Index Market Cap
http://tmsnrt.rs/2EmTD6j
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