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Dow edges higher after hitting record intra-day high

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Benchmark S&P 500 and Nasdaq fall

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Crude oil prices shed $1 as Trump-Putin meeting begins

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US dollar weakens, gold prices rise

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US Treasury bond prices rises across board

(Updates prices throughout with US market close, oil and gas

settlement)

By Chibuike Oguh and Iain Withers

NEW YORK/LONDON, Aug 15 (Reuters) - Global stocks were

flat but still traded near record highs on Friday as U.S.

President Donald Trump and his Russian counterpart Vladimir

Putin held high-stakes talks in Alaska over Ukraine.

U.S. Treasury bond prices fell across the board with markets

anticipating a Federal Reserve interest rate cut.

The Dow hit an intra-day record high during the session,

becoming the last of Wall Street's main indexes to climb to a

new peak this week. The benchmark S&P 500 and the Nasdaq

dropped, dragged down mainly by technology, financials,

industrials and utilities stocks. The Dow Jones Industrial

Average rose 0.08%, the S&P 500 fell 0.29% and the

Nasdaq Composite fell 0.40%.

"This market continues to move higher and the story is just

earnings and margins," said Talley Leger, chief market

strategist at The Wealth Consulting Group in New Jersey.

"The inflation numbers that we saw this week were mostly

services and in a services-based economy like ours, this is good

for profit margins."

Data showed that U.S. retail sales increased solidly in July,

rising 0.5% from the prior month, after an unexpected spike in

producer price data on Thursday renewed inflation concerns and

pared market expectations for Federal Reserve rate cuts this

year.

European shares touched a near five-month high before

pulling back, as investors drew encouragement from a largely

positive earnings season. The pan-European STOXX 600

index finished flat at 0.06%.

The MSCI All Country World Index consolidated

recent gains. It was last flat at 951.70, just shy of the record

level of 954.21 set on Wednesday.

Trump and Putin met face to face in Alaska in a high-stakes

meeting that could determine whether a ceasefire can be reached

in the deadliest war in Europe since World War Two.

Trump has said a second summit involving Ukrainian President

Volodymyr Zelenskiy could follow if the talks with Putin go

well.

Details and the longevity of any agreement will be key, and for

now investors are on standby. Ukraine's government bonds - key

indicators of the mood - have largely stalled in recent days at

a still-distressed 55 cents on the dollar.

"There's still a small degree of risk premium in European

markets because of the war. Any type of resolution will

ultimately pare that back," said Shaniel Ramjee, co-head of

multi-asset at Pictet Asset Management, adding that oil and

other commodity prices could also react.

"But I think that the market has learnt not to expect too much

from these negotiations. Ultimately, Zelenskiy and the Europeans

are not invited. They will need to be involved in any final

negotiation," Ramjee added.

The two-year note yield, which typically moves in

step with interest rate expectations for the Fed, rose 1.1 basis

points to 3.751%, paring earlier losses. The yield on benchmark

U.S. 10-year notes rose 2.7 basis points to 4.32%.

In currency markets, the dollar weakened 0.38% to 146.72 against

the Japanese yen and was down 0.15% at 0.806 against

the Swiss franc. The euro was up 0.48% at

$1.1702.

The dollar index, which tracks the greenback against

a basket of six major currencies, was last trading down 0.34% at

97.85.

Japanese GDP data released on Friday showed the economy

expanding by an annualised 1.0% in the April-to-June quarter,

beating analyst estimates.

Brent crude fell 1.5% to settle at $66.85 per

barrel. U.S. crude fell 1.8% to settle at $62.80.

Spot gold rose 0.09% to $3,338.65 an ounce. U.S. gold

futures settled almost flat at $3,382.60.

Cryptocurrency markets stabilised after bitcoin

touched a record $124,480.82 on Thursday. It was down 0.78% at

$117,033.52.