The reversal in fortunes for U.S. stocks........>

OIL: The reversal in fortunes for U.S. stocks allowed crude to base on

Wednesday, although Brent & WTI still settled over $2.50 lower apiece after

broader risk off-flows and a surprise build in headline crude inventories in the

latest weekly DoE inventory data, alongside an uptick in U.S. crude production,

weighed on oil prices earlier in the day.

- All of that was before crude rallied in post-settlement trade on the back of a

BBG story which suggested that "Saudi Arabia has phoned other oil producers to

discuss possible policy responses as oil prices slide to a seven-month low," per

an official source. The source went on to note that "the Kingdom won't tolerate

a continued slide in prices and is considering all options."

- WTI & Brent now sit ~$1.50 above their respective settlement levels after the

PBoC set the USD/CNY fix at a lower level than expected (albeit above the key

CNY7.0000 threshold), supporting risk appetite in Asia-Pacific hours.