GLOBAL MARKETS-Asset prices meander absent strong economy trend

                                
 * Yen rises to seven-week highs on safe-haven demand
                                
 * Oil falls after U.S. inventory data
                                
 * Bonds edge higher on weak data, wobbly stocks
 (Updates with U.S. markets activity, dateline previously
LONDON)
                                
 By Herbert Lash
                                
 NEW YORK, Sept 2 (Reuters) - U.S. stocks edged up on
Wednesday and the yen rose to a seven-week high against the
dollar as investors wrestled with the latest data to assess the
strength of the economic recovery.
                                
 A U.S. private-sector jobs showed moderating losses in the
labor market in August, but the losses were greater than
forecast and highlighted uncertainty over a brewing economic
recovery. The report boosted the safe-haven appeal of the
Japanese currency [ID:nN02259301].
                                
 Gold extended gains past $970 an ounce to its highest in
almost three months as concern over the recent slide in global
equity markets boosted the metal's cachet as a refuge from
financial uncertainty. [ID:nL2167301]
                                
 The wobbly stock market and disappointing jobs report fed a
safe-haven bid for U.S. government debt. Prices of Treasuries
edged higher, pushing benchmark yields to seven-week lows.
[ID:nN02535214]
                                
 The ADP Employer Services report said U.S. private
employers cut 298,000 jobs in August, down from 360,000 job
losses in July but above economists' forecast for losses of
only 250,000.
                                
 The report comes two days ahead of the closely watched U.S.
government data on non-farm payrolls.
                                
 Euro zone government bond prices rose as European equities
fell for the third straight session and investors awaited a
European Central Bank policy decision amid a raft of supply
from France and Spain. [ID:nL2650043]
                                
 Improvement in the jobs market has been slow and consumer
confidence has stumbled, clouding hopes for rising consumer
demand to fuel economic growth. Analysts polled by Reuters
expect a loss of 225,000 jobs in Friday's non-farm payroll
report.
                                
 "We're still digesting some of yesterday's losses and the
data," said Paul Nolte, director of investments at Hinsdale
Associates in Hinsdale, Illinois, who said the recent equities
rally off deep March lows was built, in part, on anticipation
of a recovery.
                                
 Shortly after 1 p.m., the Dow Jones industrial average
<.DJI> was up 0.07 points, or 0.00 percent, at 9,310.67. The
Standard & Poor's 500 Index <.SPX> was down 0.84 points, or
0.08 percent, at 997.20. The Nasdaq Composite Index <.IXIC> was
up 0.61 points, or 0.03 percent, at 1,969.50.
                                
 Financial shares again led decliners. The KBW Bank Index
 <.BKX> lost 1.2 percent. Among regional banks, SunTrust Banks
<STI.N> was down 5.8 percent.
                                
 European shares closed lower for a third straight day on
Wednesday, with financial stocks suffering the most, as
investors took profits after a strong run. [ID:nL2735474]
                                
 The FTSEurofirst 300 <.FTEU3> index of top European shares
fell 0.4 percent to close at 950.41 points.
                                
 Oil prices initially fell after data from the U.S. Energy
Information Administration showed crude stocks fell by 400,000
barrels per day last week, less than the 600,000 barrel drop
expected by analysts. [ID:nN02274054]
                                
 But the decline in inventory was much less than Tuesday's
report from the American Petroleum Institute showing crude oil
stocks fell 3.2 million barrels. [ID:nAPI000032] However, the
gasoline drawdown of 3 million barrels was well ahead of
analysts expectations and was enough to lift investor sentiment
for now.
                                
 U.S. crude for October delivery <CLc1> fell 20 cents at
$67.85 a barrel.
                                
 London Brent crude fell 10 cents to $67.63 a barrel.
                                
 Copper fell to a near-two week low as investors worried
that a rally has been overdone and that recovery in metals
demand remains vulnerable. [ID:nL2499553]
                                
 Copper for three month delivery <MCU3> on the London Metal
Exchange was at 6,100 a tonne.
                                
 The dollar <JPY=> fell 0.5 percent to 92.41 yen, after
hitting a low of 92.23 yen, according to Reuters data, its
lowest since mid-July.
                                
 The euro was last down 0.3 percent at 131.62 yen
<EURJPY=R>, while sterling recovered to last trade up 0.2
percent at 149.93 yen <GBPJPY=>.
                                
 Japan's Nikkei <.N225> closed down 2.4 percent and the MSCI
index of Asia-Pacific shares outside Japan <.MIAPJ0000PUS> shed
1.3 percent, pressured by Wall Street's drop on Tuesday.
 (Reporting by Edward Krudy, Wanfeng Zhou and Burton Frierson
in New York; Joe Brock, Brian Gorman, Simon Falush and Jessica
Mortimer in London; writing by Herbert Lash; Editing by Leslie
Adler)