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|
| 29.10 19:44 |
Hot Stocks: General Motors Corporation, Sony Corp 
Agco Corp
The farm equipment maker and distributor reported sales grew to $2.09B compared to $1.61B,with earnings per share up 30% in the quarter.
General Motors Corporation
The struggling automaker said that it sold more than 2.1M vehicles worldwide in the third quarter, down 11.4% from the year-ago quarter. GM blamed weakness in the North American market, where sales plunged 18.9%.
Johnson & Johnson
The health products company was downgraded to “neutral” from “overweight” by JPMorgan, which said, "J&J now trades at a 27% premium to the sum of its parts. Only once in the last 20 years has J&J traded at a greater than 15% premium."
Sony Corp
The diversified electronics company reported fiscal second-quarter net income dropped 72% to 20.8B yen ($216M), because of a sharp appreciation in the yen and weak performance of its electronics and financial services divisions.
|
| 29.10 19:27 |
HFE: "We view this ('very downbeat statement') as the first entirely realistic assessment from the Fed in this whole cycle. We expect another 50bp on December 16." |
| 29.10 19:23 |
SocGen: «Further rate cuts are possible only if financial markets remain very strained as they have been in the last month." |
| 29.10 19:06 |
Dow +21.58 at 9095.46, Nasdaq +17.36 at 1668.11, S&P +2.90 at 943.56 |
| 29.10 18:53 |
BAS: "The Committee stated, "downside risks to growth remain," usually an indicator that more easing is likely." |
| 29.10 18:33 |
FED: FF rate -50bp to 1% target
Says "econ activity appears to have slowed markedly"; expects inflation to moderate "to levels consistent with price stability." Risk: Downside risks to growth remain. Leaves in: "The Committee will monitor economic & financial developments carefully and will act as needed to promote sustainable economic growth and price stability" - a phrase that suggests more ease. Vote was 10-0.
|
| 29.10 17:42 |
American focus: [M]
The dollar fell the most since
1998 against the currencies of six major U.S. trading partners as
economists forecast that the Federal Reserve will cut the target
lending rate by a half-percentage point today.
The
euro rose against the dollar for a second day after Chancellor Angela
Merkel said Germany will announce ``bold'' measures to bolster the
economy. The yen gained versus the U.S. currency as some traders judged
its biggest decline since 1974 yesterday was too much to sustain. ``The
anticipation of lower rates from the Fed has improved the sentiment in
the markets,'' said Stephen Malyon, co-head of currency strategy at
Scotia Capital Inc. in Toronto. ``The dollar is already overbought.'' ICE
Futures' Dollar Index, which tracks the greenback against the euro, the
yen, the pound, the Canadian dollar, the Swiss franc and the Swedish
krona, fell 2.2 percent, the biggest decline since October 1998. It
touched the highest level since April 2006 yesterday. The Fed will
lower its 1.5 percent target lending rate by a half-percentage point at
the conclusion of its two-day policy meeting today, according to the
median forecast of 70 economists surveyed by Bloomberg News. Policy
makers are scheduled to announce the decision at 2:15 p.m. in
Washington. Futures on the Chicago Board of Trade show a 46 percent
chance the central bank will cut rates by three-quarters of a
percentage point. The Fed has cut the benchmark rate from 5.25
percent in the past 13 months and created six lending programs
channeling more than $1 trillion into the financial system to limit the
severity of a recession. The Canadian dollar gained the
most in at least 37 years as its U.S. counterpart weakened and
commodities including oil, natural gas, copper and gold increased. The
Canadian dollar gained as much as 3.7 percent to C$1.2277 per U.S.
dollar. The pound rose 2.5 percent to $1.6301, bringing its
gain in the past two days to 4.7 percent. The U.K.'s main stock index
rose more than 4 percent and the central bank said lenders increased
mortgage approvals last month for the first time since June 2007.
The dollar touched $1.2330 per euro yesterday, the strongest in
more than two years, on concern the seizure of short-term borrowing
between banks may further slow global growth, encouraging investors to
take refuge in the greenback. In
a sign bank lending started to thaw, the London interbank offered rate,
or Libor, that banks charge each other for three-month loans in dollars
dropped 0.05 percentage point to 3.42 percent, its 13th straight drop,
according to the British Bankers' Association. |
| 29.10 17:22 |
Dow +90.24 at 9155.52, Nasdaq +22.22 at 1671.69, S&P +8.48 at 948.99 |
| 29.10 16:46 |
Horizon Cash Mgmt: “Fed to ease 50bp today to 1%, and says this will save a little room for future cuts if necessary.” |
| 29.10 16:28 |
Wall Street awaits FOMC decision.[M]
Stocks churned Wednesday
morning, as investors digested the previous session's massive rally and
geared up for an expected interest rate cut from the Federal Reserve.
A surprise jump in durable goods orders, Procter & Gamble's better-than-expected results and GM's weak global sales report were also in the mix.
On Tuesday, the Dow surged 889 points, its second-best single-day point
gain ever, as investors scooped up a variety of shares hit in the
recent retreat. In percentage terms, the advance of 10.9% was the sixth
biggest ever. The S&P 500 jumped 10.8% and the Nasdaq composite
jumped 9.5%.
Meanwhile, the credit market continued to improve, with Libor, the
overnight bank-to-bank lending rate, falling to 1.14% from 1.24% the
previous day, according to Dow Jones. The 3-month Libor fell to 3.42%
from 3.47%.
Treasury prices slipped, raising the yield on the benchmark 10-year note yield to 3.81% from 3.77% late Tuesday.
The Commerce Department said new orders for big-ticket items -
including cars and appliances - rose 0.8% in September versus forecasts
for a drop of 1.1%. Orders fell a revised 5.5% in August.
Dow component Procter & Gamble reported higher quarterly
sales and earnings in the fiscal first-quarter that topped estimates.
However, the consumer products maker also said that full-year earnings
could be weaker than previously expected. P&G fell 3%.
Fellow Dow component General Motors reported a steep drop in global
third-quarter sales. North American sales fell 19% in the quarter
versus a year ago. GM shares rose 3.5%.
Another Dow component, Kraft Foods, said third-quarter profit more than
doubled due to a one-time gain resulting from its $2.6 billion sale of
its Post cereals unit.
U.S. light crude oil for December delivery rallied $3.84 to $66.57 a barrel, after ending the previous session at a 17-month low.
Gasoline prices fell another 4 cents overnight, to a national average
of $2.589 a gallon, according to a survey of credit-card activity by
motorist group AAA. It was the 42nd consecutive day that prices have
decreased. During that time, prices have fallen by $1.26 a gallon, or
nearly 33%.
COMEX gold for December delivery rallied $22 to $762.50 an ounce. |
| 29.10 16:08 |
Dow +35.84 at 9102.47, Nasdaq +0.02 at 1650.38, S&P +0.67 at 941.18 |
| 29.10 16:03 |
WTI Nymex crude oil breaks above $68.00, up $5.27 on session as dollar index continues to weaken on speculation the the Fed will cut 50bps to 1.00% at FOMC meeting today. |
| 29.10 16:02 |
Dow +17.20 at 9081.05, Nasdaq -7.08 at 1643.35, S&P -2.18 at 938.24
Stocks continue their choppy trade, with the Dow recovering to a slight
gain while the Nasdaq and S&P 500 post modest losses.
The financial sector (-1.9%) is a laggard. Goldman Sachs (GS 92.02,
-1.55), which underperformed yesterday, is again under selling
pressure. Health insurer Aetna (AET 24.76, -3.04) is down 11% after
the company reported in-line third quarter earnings, but issued
downside guidance for fiscal year 2008.
The dollar continues to tumble, now down 2.5%. Meanwhile, commodities rally 4.6%.
|
| 29.10 15:39 |
Morgan Stanley on US GDP
"It looks like there will be no late year jump in investment to take
advantage of tax provisions that expire at year end. On the positive
side, core capital goods shipments rebounded 2.0% in September after
falling 2.1% in August, pointing to a still substantial, but smaller,
drop in third quarter investment. As a result, we boosted our Q3 GDP
forecast slightly to -0.4%."
|
| 29.10 15:25 |
Dow -54.48 at 9009.52, Nasdaq -18.93 at 1630.29, S&P -10.82 at 929.25
Stocks head back toward session lows. The S&P 500 is now down more than 1% and only the energy sector (+2.3%) remains in the green.
The Dow is outperforming on a relative basis thanks to strength in energy company Chevron (CVX
71.70, +1.69). Crude prices are trading slightly below their
preinventory report levels with a gain of 5.7% at $66.30 per barrel.
|
| 29.10 15:13 |
WTI Nymex crude oil rose to $67.55 high in knee-jerk reaction to US DoE weekly oil inventory data
WTI Nymex crude oil rose to $67.55 high in knee-jerk reaction to US DoE
weekly oil inventory data, which showed a smaller than expected build
in crude oil supplies at 493k barrels vs expectations of 1.55mln
barrel. However, prices are now under pressure as market focuses on the
strong build in distillate supplies -- includes heating oil -- ahead of
the winter season. WTI Nymex crude oil is now at $66.05.
|
| 29.10 14:38 |
US EIA oil data for week Oct 24:
"U.S. commercial crude oil inventories (excluding those in the
Strategic Petroleum Reserve) increased by 0.5 million barrels from the
previous week. At 311.9 million barrels, U.S. crude oil inventories are
in the upper half of the average range for this time of year."
|
| 29.10 14:25 |
HSBC: "US GDP could print -0.5%."
HSBC economist Ian Morris says Durables Shipments data were "not so
bad: non-defense capital goods ex-aircraft up 2% after -2.1% - this is
what matters for GDP." He says it suggests that equipment/software
spending in Q3 GDP "might be flat to -2%" and so GDP could print -0.5%.
|
| 29.10 14:19 |
Dow -28.44 at 9036.68, Nasdaq -12.91 at 1636.56, S&P -5.94 at 933.77
The major indices are posting a loss, although the scope of this
session's decline is modest when compared to yesterday's massive rally.
Three of the ten sectors are posting a gain. The energy sector (+3.0%)
is leading the way as it trades higher in conjunction with a rise in
crude oil prices (+5.7% to $66.28).
Consumer discretionary (-2.1%) is a laggard as retailers fall 2.5%.
Struggling retailer Office Depot (ODP 1.74, -0.15) reported a 7.1% drop
in revenue and an unexpected loss in the third quarter, sending shares
8% lower.
The dollar is taking a beating after rallying the past few weeks. It
is down 1.8% against a basket of currencies as the euro (+2.8%) and
pound (+3.5%) rally. Conversely, the yen, which has recently soared
against world currencies, is down 0.5% against the dollar on continued
reports that the Bank of Japan may cut its benchmark lending rate.
|
| 29.10 14:00 |
GS is raising risk of a 75bp cut and saying ever-lower rates mean money funds will have problems covering costs. |
| 29.10 13:45 |
Dow -95.98 at 8974.26, Nasdaq -26.40 at 1622.01, S&P -12.56 at 928.31 |
| 29.10 13:12 |
Before the bell:[M]
S&P 500 futures gain a few points on a better-than-expected
durable goods orders report: S&P futures vs fair value: +3.50.
Nasdaq futures vs fair value: +6.80.
September durable goods orders rose 0.8%, better than the
expected decline of 1.1%. Excluding transportation, durable goods
orders fell 1.1%, which was better than the expected decline of 1.5%.
Meanwhile, crude prices are rallying, up 5.8% to $66.41 per barrel. Kellogg (K) posted better than expected third quarter earnings and issued in-line guidance for fiscal year 2008.
In earnings news, Procter & Gamble (PG) earned $1.03 in its fiscal third quarter, a 14% year-over-year increase, which was $0.05 better than expectations. Comcast (CMCSA), Kraft (JFT) and Newmont Mining (NEM) also topped expectations. Corning (GLW) and Garmin (GRMN) and Moody's (MCO) beat for their latest quarter, but issued downside guidance. Office Depot (ODP) and Qwest (Q) reported worse-than-expected earnings. In overseas trading, Japan's Nikkei rose 7.7% on continued reports that the Bank of Japan will cut its benchmark rate by 25 basis points. The Euro Stoxx 600
is up 5.1% with banks leading the way. Fed funds futures fully price in
a 50 basis point rate cut, and suggest a 42% chance of a 75 basis point
cut. |
| 29.10 13:03 |
Commodities continue the rally
WTI Nymex crude oil hits fresh session high at $66.90, up $4.17 --
shadowing move up in Spot gold, which earlier extended squeeze to 7-day
high at $768.62.
|
| 29.10 12:30 |
US: Sept durables orders +0.8% m/m; ex-transportation was -1.1%; and ex-defense -0.6%. |
| 29.10 12:26 |
European focus: [M]
The yen rose against the dollar, after the biggest decline since 1974,
as a drop in U.S. stock futures prompted investors to pare holdings of
higher-yielding assets funded with Japan's currency.
Japan's currency also gained against the Australian dollar and the
South African rand, two favorites of so-called carry trades. The dollar
fell versus the euro on speculation the Federal Reserve will cut rates
today before data that may show the world's largest economy contracted
the most since 2001.
``The yen reacts intensively to risk aversion and won't be under too
much pressure in the near future,'' said Lutz Karpowitz, a currency
strategist in Frankfurt at Commerzbank AG, Germany's second-biggest
lender. ``We're not expecting risk aversion to plummet at the same pace
as we saw it rising as it's going to take time to restore confidence in
the market.''
Futures on the Standard & Poor's 500 Index for December delivery
fell 2.1 percent to 919.70 following a 12 percent rally in the index
yesterday.
The Fed will lower its 1.5 percent target lending rate by a
half-percentage point at the conclusion of its two-day policy meeting
today, according to the median forecast of 69 economists surveyed by
Bloomberg News. Policy makers are scheduled to announce the decision at
2:15 p.m. in Washington. Futures on the Chicago Board of Trade show a
46 percent chance the central bank will cut rates by three-quarters of
a point.
U.S. consumer confidence slumped to a record low this month, a report
showed yesterday. Gross domestic product shrank by 0.5 percent in the
third quarter for its biggest decline since the 2001 recession, data
tomorrow may show, according to a separate survey.
``The Fed may move to a zero interest-rate policy,'' Masafumi Yamamoto,
head of foreign-exchange strategy for Japan at Royal Bank of Scotland
Group Plc in Tokyo and a former Bank of Japan currency trader, wrote in
a research note today. ``A worsening economic outlook suggests an
increasing likelihood of additional rate cuts.''
``What has been driving the yen stronger is not speculative positions
but the repatriation of Japanese investors and de- leveraging by global
investors,'' said Sophia Drossos, a strategist at Morgan Stanley in New
York. ``The trend is not over yet.''
|
| 29.10 12:05 |
EU ALMUNIA: Facing "serious slowdown" in EMU economy
-- MonPol can contribute to supporting demand
-- Inflation pressures in euro area are now easing
-- Must use fiscal room for manoeuvre to cushion crisis.
|
| 29.10 12:00 |
EU BARROSO: WIll provide aid to EU states in financial difficulty
-- Signs crisis spreading to emerging markets
-- Must not use crisis as excuse for protectionsism
-- Euro has shielded EMU from worse of financial crisis.
|
| 29.10 11:38 |
BAS calls for FOMC to ease to 1% today. |
| 29.10 11:17 |
EUR/USD keeps positive mood
Euro-dollar shadowing move in Euro-Yen,
where both the euro and cross are seen underpinned by speculation of a
Fed & BoJ rate cut. Offers remain at $1.2790/10 as well as $1.2845/50
with demand seen returning at the lows to $1.2600.
|
| 29.10 11:00 |
China PBOC cuts 1-year lending rate by 27bps.
PBOC also cut 1-year deposit rate by 27bps. |
| 29.10 10:51 |
Crude oil prices are squeezing higher Wednesday.
The Wall Street's 10.9% gain yesterday, talk of OPEC emergency meeting
to defend oil prices and speculation of central bank rate cuts -- FOMC
& Norges Bank meet today and expected to cut 50bps -- all factors
contributing the oil price bid. WTI Nymex crude oil hits $66.45, up
$3.72.
|
| 29.10 10:48 |
JPY/USD techs:
Resistance 3: Y102.35
Resistance 2: Y100.55
Resistance 1: Y97.95
Current price: Y99.09
Support 1: Y96.30
Support 2: Y94.30
Support 3: Y90.90
Comments:
Growth of world stocks puts pressure up on yen. USD/JPY it is corrected
after yesterday's growth and at the moment tests support in the
area of Y96,30 (38.2 % FIBO of yesterday's growth). Below possible
fall to the area Y94,30 (61,8 %) and further to 13 years low on Y90,90.
Resistance is the area 200 day МА on Y97,95/Y98,00. Overcoming of the
given level will open road to Y100,55 (October 17 low and October 22
high). Above is possible return to October 20 high on Y102,35.
|
| 29.10 10:30 |
USD/CHF techs:
Resistance 3: Chf1.1880
Resistance 2: Chf1.1780
Resistance 1: Chf1.1655
Current price: Chf1.1465
Support 1: Chf1.1430
Support 2: Chf1.1350
Support 3: Chf1.1100
Comments:
The pair has decreased in area of high of September which at the moment
are the nearest support (Chf1.1430). Overcoming of the given mark will
open road to Chf1,1350 (38.2 % FIBO of growth Chf1,0685-Chf1,1750) and
further to Chf 1.1100 (61,8 % and area of February's high). The nearest
resistance is located in the field of a yesterday's high on Chf1.1655,
above is located the peak of October 21 2007 on Chf1.1780. Overcoming
of the given mark will open road to Chf1.1880/Chf1,1900 (area of
October 2007 high).
|
| 29.10 10:07 |
GBP/USD techs:
Resistance 3: $1.6670
Resistance 2: $1.6350
Resistance 1: $1.6110
Current price: $1.6009
Support 1: $1.5940
Support 2: $1.5870
Support 3: $1.5750
Comments:
The pound is consolidated in the field of the high reached yesterday.
The nearest support - area of a session low on $1,5940. Overcoming of the given mark
will open road to $1,5870 (50% totay's rise) and further to $1.5750. The
nearest resistance - area of a session high on $1,6110. Above is
possible growth to $1,6350 (area of October 23 high) and further to
$1,6670 (61,8 % FIBO of falling $1,7515-$ 1,5265).
|
| 29.10 09:54 |
EUR/USD techs:
Resistance 3:$1.3275
Resistance 2: $1.3000
Resistance 1: $1.2850
Current price: $1.2755
Support 1: $1.2585
Support 2: $1.2475
Support 3: $1.2330
Comments:
The rate is corrected after yesterday's growth. As the nearest support
acts the area of yesterday's resistance on $1,2585. Overcoming of the
given mark will open road to a level 76,4%FIBO yesterday's growth on
$1,2475. Below is located the area of 2 years low on $1,2330. At
renewal of growth by intermediate resistance there will be an area of a
session high on $1,2850. Above is located the October 23 high on
$1,3000. Further is probable growth in area $1,3275 ( October 20 high
|
| 29.10 09:30 |
BOE DATA: UK Sep House Loan Approvals 33,000 Vs 32,000 Aug
--UK Sep net consumer credit up stg251mn vs stg1.106bn Aug
--UK Sep Net Mortgage Lending stg2.167bn vs -stg691mn Aug
--BOE: Final Sep M4 up 1.5% m/m; up 12.4% y/y
--UK Sep M4 Lending 1.4% m/m; up 12.8% y/y; M4 Lending Stg33.1bn
|
| 29.10 09:23 |
Orders
EUR/GBP
Offers stg0.8125, stg0.8050, stg0.7960/75
Bids stg0.7900/10,
EUR/JPY
Offers Y127.20/30, Y124.00/10
Bids Y121.45, Y116.90/10, Y114.50/60
USD/JPY
Offers Y100.00/20, Y90.00/00
Bids Y96.00/20, Y92.00/10, Y90.90/00
EUR/USD
Offers $1.2845/50, $1.2790/00
Bids $1.2600/10, $1.2450, $1.2335, $1.2300/10
|
| 29.10 09:12 |
Asian session: [M]
The yen rose against the dollar, following the biggest decline
since 1974, as a drop in U.S. stock futures prompted investors to pare
holdings of higher- yielding assets funded with Japan's currency.
The yen gained against the Australian dollar and the South African rand,
two favorite targets of so-called carry trades, as Standard &
Poor's 500 index futures fell as much as 2 percent. The dollar weakened
against the euro as traders bet the Federal Reserve will cut interest
rates later today before data that may show the world's largest economy
contracted the most since 2001.
The Federal Reserve will lower its 1.5 percent target lending rate by a
half-percentage point at the conclusion of its two-day policy meeting
today, according to the median forecast of conomists . Policy makers
are scheduled to announce the decision at 18:15 GMT in Washington.
Futures on the Chicago Board of Trade show a 46 percent chance the
central bank will cut rates by three-quarters of a point.
U.S. consumer confidence slumped to a record low this month, a report
showed yesterday. Gross domestic product shrank by 0.5 percent in the
third quarter for its biggest decline since the 2001 recession, data
tomorrow may show, according to a separate survey.
The yen rose on speculation a rate cut or currency market intervention from the Bank of Japan won't stem its recent gains. The
strength in the yen has eroded Japanese exporters' overseas income.
Honda Motor Co., Japan's second-largest automaker, cut its operating
profit forecast for the year ended in March 2009 by 13 percent to 550
billion yen ($5.6 billion).
The BOJ is ``leaning toward'' reducing its target rate by a
quarter-percentage point to 0.25 percent when it announces a policy
decision on Oct. 31, the Nikkei newspaper reported without citing
anyone.
EUR/USD having shown session low in the field of $1,2630, the pair has receded in area $1,2750.
 having shown high on $1,6225, the pair has returned to area $1,6040.
USD/JPY having tested support in the field of 38,2 % FIBO of yesterday's growth on Y96,30, the pair has raised in area Y97,40.
Today is also the final date for the remaining German states to release
their October CPI figures, with the final release followed by the
German preliminary HICP data for October. UK data at 0930GMT sees final
M4, mortgage approvals (expected at 32k), lending secured on dwellings
(expected at stg0.5 billion) and consumer credit (expected at stg1.0
billion).
The main focus for Wednesday will come after the European close, witt
the FOMC US interest rate decision. The decision is due at 1815GMT and
is expected to see delivery of another 50bps cut to 1%.
|
| 29.10 09:09 |
FOREX. Tuesday summary [M]
The yen fell the most against the euro since January 2001 and
dropped versus the dollar as a rebound in global stocks encouraged
investors to reduce bets against higher-yielding currencies.
The currency declined versus the Australian and New Zealand dollars
on speculation carry trades will get a boost and Japan's central bank
will sell the yen for the first time in four years to help exporters.
The Standard & Poor's 500 Index increased 0.4 percent after Japan's
Nikkei 225 Stock Average rebounded from the lowest level in 26 years.
The S&P 500 fell yesterday to the lowest level since March 2003 on
concern the credit crunch will cause the global economic slump to
deepen.
In a sign financial institutions are becoming less nervous about
extending loans, the London interbank offered rate, or Libor, that
banks charge each other for three-month loans in dollars fell 0.04
percentage point to 3.47 percent, its 12th straight drop, according to
the British Bankers' Association. The Federal Reserve began buying
short-term corporate debt yesterday to revive lending markets.
The yen pared losses against the dollar after the Conference
Board, a New York-based research group, said its consumer confidence
index decreased to 38, the lowest reading since monthly records began
in 1967.
EUR/USD having tested 2 years low on $1,2330, the pair could on results of session will become stronger in above level $1,2800.
 the pair on results of session has become stronger more than on 600 items.
USD/JPY for yesterday's session the yen has lost against dollar more than 600 items.
Today is also the final date for the remaining German states to release
their October CPI figures, with the final release followed by the
German preliminary HICP data for October. UK data at 0930GMT sees final
M4, mortgage approvals (expected at 32k), lending secured on dwellings
(expected at stg0.5 billion) and consumer credit (expected at stg1.0
billion).
The main focus for Wednesday will come after the European close, witt
the FOMC US interest rate decision. The decision is due at 1815GMT and
is expected to see delivery of another 50bps cut to 1%.
|
| 29.10 08:49 |
JAPAN STOCKS:
Japan's Nikkei 225 ended Wednesday's volatile trading session at the day's best levels, higher by 590 points, or 7.74%, at 8211.90. The index swung between the session high close and gains of
only 1.8% in the final 90 minutes of trade as the yen went on a roller-coaster ride against the dollar. The broader-based TOPIX was ahead by 46.29 points at 830.32.
|
| 29.10 08:21 |
Stock market: Tuesday summary [M]
Japanese stocks rose the most in two weeks, breaking a four-day
losing streak that erased almost a quarter of the Nikkei 225 Stock
Average's value and sent the gauge to a 26-year low.
Investors
snapped up shares trading at historic lows, with Nippon Steel Corp.,
Japan's biggest maker of the alloy, and Isuzu Motors Ltd. climbing at
least 20 percent after both stocks traded at less than 6 times trailing
earnings. Honda Motor Corp., which had plunged 26 percent in four days,
jumped 14 percent. Nidec Corp., the world's biggest maker of motors for
disk drives, rose 14 percent after profit jumped 37 percent in the
first half.
The Nikkei 225, which lost 23 percent in the previous
four days, gained 459.02, or 6.4 percent, to close at 7,621.92 in
Tokyo. The gauge dropped to the lowest since October 1982 yesterday and
fell as much as 2.4 percent today, sending it briefly below 7,000. The
broader Topix index added 37.57, or 5 percent, to 784.03. Both gauges
rose the most since Oct. 14.
Stocks also advanced as new
restrictions on short-selling boosted confidence share prices don't
have much room left to fall. The volume of trading on the main board of
the Tokyo exchange was the highest this year, excluding futures
settlement sessions where turnover picks up.
European
stocks rebounded from a five-day losing streak as the Dow Jones Stoxx
600 Index traded near the cheapest relative to earnings in more than
six years and BP Plc's profit topped analysts' estimates.
BP
rallied 5.4 percent after Europe's second-biggest oil company said
earnings rose 83 percent in the third quarter. SAS Group gained as
Citigroup Inc. recommended the stock, saying it is cheap. Volkswagen AG
surged as much as 93 percent to become the world's biggest company by
market value briefly. Societe Generale SA and ING Groep NV led
financial companies lower.
The Stoxx 600 advanced 2.3 percent to
199.44. The index is down 22 percent in October, headed for its biggest
monthly decline since the October 1987 crash.
The U.K.'s FTSE 100
added 1.9 percent as Aviva Plc gained. France's CAC 40 increased 1.6
percent. Germany's DAX surged 9.9 percent, buoyed by Volkswagen, which
accounts for 27 percent of the benchmark's weighting.
Stocks had earlier pared some gains after a report showed consumers in the U.S. were the most pessimistic ever in October.
U.S.
stocks rallied, following gains in Asian and European markets, as the
cheapest valuations in more than two decades lured investors back into
equities.
Alcoa Inc., the largest U.S. aluminum producer, jumped
as much as 6.2 percent after the shares slid to their lowest price- to
earnings ratio on record. Exxon Mobil Corp. advanced 5.6 percent and
AT&T Inc. rallied 4.2 percent after analysts advised buying more
stock in the companies. Morgan Stanley lost as much as 26 percent on
concern Mitsubishi UFJ Financial Group Inc. needs more money to pay for
its stake in the bank.
The Standard & Poor's 500 Index added
18.69 points, or 2.2 percent, to 867.61 at 12:59 p.m. in New York. The
Dow Jones Industrial Average climbed 226.04, or 2.8 percent, to
8,401.81. Hong Kong's benchmark index surged 14 percent, its best gain
in 11 years, while Germany's climbed 9.9 percent.
U.S. stock
indexes pared gains this morning after the Conference Board's index of
consumer confidence plunged more than forecast to a record low of 38.
General
Motors Corp. rose 8.4 percent to $5.91. Money may be available to U.S.
automakers from the federal bailout fund, White House spokeswoman Dana
Perino said. GM's Chief Executive Officer Rick Wagoner is pushing for
federal aid as the company seeks to merge with Chrysler LLC, people
close to the discussions said.
Valero Energy Corp. jumped 5.8
percent to $15.99. The largest U.S. refiner posted a smaller decline in
third-quarter earnings than analysts predicted after crude-oil costs
retreated from an all-time high, easing a squeeze on profit margins.
Morgan
Stanley tumbled 13 percent to $11.96 and slid as low as $10.15 after
shares of Mitsubishi UFJ, the Japanese bank investing $9 billion in the
New York-based firm, fell for a second day on concern a planned 990
billion yen ($10.45 billion) stock sale will dilute shareholders.
Whirlpool
Corp. tumbled 16 percent to $41.79 after saying it will cut 5,000 jobs
by the end of next year to reduce costs. The world's largest appliance
maker lowered its 2008 earnings-per- share forecast to $5.75 from $6. |
| 29.10 08:07 |
JPY/USD techs:
Resistance 3: Y102.35
Resistance 2: Y100.55
Resistance 1: Y97.95
Current price: Y99.09
Support 1: Y96.30
Support 2: Y94.30
Support 3: Y90.90
Comments: Growth of world share puts pressure
up on yen. USD/JPY it is corrected after yesterday's growth and the
given moment tests support in the field of Y96,30 (38.2 % FIBO of
yesterday's growth). Below possible falling in area Y94,30 (61,8 %) and
further to 13 years low on Y90,90. Resistance is the area 200 day МА on
Y97,95/Y98,00. Overcoming of the given level will open road to Y100,55
(October 17 low and October 22 high). Above is possible return to
October 20 high on Y102,35. |
| 29.10 07:58 |
OIL: Front-month Nymex WTI Dec 08 contract was last trading at Y64.22, up $1.49 on the day but shy of the $66.11 session high. |
| 29.10 07:37 |
USD/CHF techs:
Resistance 3: Chf1.1880
Resistance 2: Chf1.1780
Resistance 1: Chf1.1655
Current price: Chf1.1504
Support 1: Chf1.1430
Support 2: Chf1.1350
Support 3: Chf1.1100
Comments:
The pair has decreased in area of high of September which at the moment
are the nearest support (Chf1.1430). Overcoming of the given mark will
open road to Chf1,1350 (38.2 % FIBO of growth Chf1,0685-Chf1,1750) and
further to Chf 1.1100 (61,8 % and area of February's high). The nearest
resistance is located in the field of a yesterday's high on Chf1.1655,
above is located the peak of October 21 2007 on Chf1.1780. Overcoming
of the given mark will open road to Chf1.1880/Chf1,1900 (area of
October 2007 high).
|
| 29.10 07:11 |
GBP/USD techs:
Resistance 3: $1.6670
Resistance 2: $1.6350
Resistance 1: $1.6110
Current price: $1.6104
Support 1: $1.5915
Support 2: $1.5790
Support 3: $1.5600
Comments: The pound is consolidated in the field of the high reached
yesterday. The nearest support - area of a session low on $1,5915 (and
also a level 23,6%FIBO growth $1,5265-$ 1,6110). Overcoming of the
given mark will open road to $1,5790 (38,2 %) and further to $1,5600
(61,8 %). The nearest resistance - area of a session high on $1,6110.
Above is possible growth to $1,6350 (area of October 23 high) and
further to $1,6670 (61,8 % FIBO of falling $1,7515-$ 1,5265). |
| 29.10 06:50 |
EUR/USD techs:
Resistance 3:$1.3275
Resistance 2: $1.3300
Resistance 1: $1.2850
Current price: $1.2785
Support 1: $1.2585
Support 2: $1.2475
Support 3: $1.2330
Comments: The rate is corrected after yesterday's growth. As the
nearest support acts the area of yesterday's resistance on $1,2585.
Overcoming of the given mark will open road to a level 76,4%FIBO
yesterday's growth on $1,2475. Below is located the area of 2 years low
on $1,2330. At renewal of growth by intermediate resistance there will
be an area of a session high on $1,2850. Above is located the October
23 high on $1,3000. Further is probable growth in area $1,3275 (
October 20 high). |
| 29.10 06:36 |
Daily History for Okt 28, 2008
High Low Close
EUR/USD 1.2790 1.2327 1.2781
USD/JPY 99.38 92.62 99.31
GBP/USD 1.6004 1.5400 1.6004
USD/CHF 1.1658 1.1532 1.1544
EUR/JPY 127.06 114.42 126.98
EUR/GBP 0.8050 0.7954 0.7987
GBP/JPY 158.96 142.85 158.87
GBP/CHF 1.8476 1.7857 1.8470
Change % Change Last
Nikkei +459.02 +6.41% 7,621.92
Topix +37.57 +5.00% 784.03
FTSE +73.79 +1.92% 3,926.38
DAX +488.81 +11.28% 4,823.45
CAC +47.57 +1.55% 3,114.92
DOW +889.67 +10.88% 9,065.44
NASDAQ +143.57 +9.53% 1,649.47
S&P 500 +91.57 +10.79% 940.49
10yr Note +0.9100 +0.244% 3.820%
NYMEX Crude Oil -0.49 -0.78% 62.73
Gold -2.40 -0.32% 740.50
|
| 29.10 06:21 |
Schedule for today, Wednesday, Okt 29, 2008
09:30 UK Consumer credit (September), bln +1.0 +1.2
09:30 UK M4 lending (September) final, bln +30.6
09:30 UK M4 money supply (September) final Y/Y 12.2%
09:30 UK M4 money supply (September) final 1.4%
12:30 USA Durable goods orders excluding defence (September) -5,0%
12:30 USA Durable goods orders excluding transportation (September) -1,5% -3,0%
12:30 USA Durable goods orders (September) -1,0% -4,5%
18:15 USA Fed Interest Rate Decision 1,00% 1,50%
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