Investment of Mine

Closing bell of the stock market:

Nikkei    +817.86    +9.96%    9,029.76
Topix +69.05 +8.30% 899.37
FTSE    +49.11    +1.16%  4,291.65
DAX    +60.61    +1.26%    4,869.30
CAC    +5.25    +0.15%    3,407.82
DOW +189.89 +2.11% 9,180.85
NASDAQ +41.31 +2.49% 1,698.52
S&P 500 +23.94 +2.57% 954.03
10yr Note    +0.6500    +0.168%    3.939%
NYMEX Crude Oil    -1.54    -2.28%    65.96
Gold    -15.50    -2.06%    738.50

On Thursday the stocks on the Japanese market grew, Nikkei 225 Stock Average skyrocketing 10%. For the last three trading days the index has shown the most impressive result for the last 38 years. The growth of prices on the raw materials and the weakening of the yen rate positively influenced the profit perspectives of the representatives of the resources and export-oriented sectors. The stocks of the trading companies Mitsubishi Corp. and Mitsui & Co., half of the profit of which is generated by the sales of the raw materials, skyrocketed 12%. Mazda Motor Corp. exporting 80% of its products grew 25%, which became the maximum result for, at least, the last ten years. The stocks of the mobile operator Softbank Corp. grew 13% after the announcement of the Company that according to the yearly results it will get revenue. The stocks of the Inpex Corp., Japanese largest oil company, grew 10%, and the stocks of its main competitor - Japan Petroleum Exploration Co. - gained 7.5%. The cost of oil and its delivery in December went 4.3% more expensive to $70.38 per barrel.

On Thursday European indices grew after the whole string of the central banks have reduced their interest rates and the FRS provided South Korea, Singapore, Brazil and Mexico with the credit lines in the amount of  $120 billion in order to unfreeze the credit market in the emerging countries.
The stocks of the BHP Billiton Ltd. and Xstrata grew at least 5% in the course of the revival of the growth of prices on the raw materials as well as due to the expectations that the tension relief on the credit markets will positively influence the perspectives of the world economy.
The stocks of the Deutsche Bank AG skyrocketed 18%, those of the Alcatel-Lucent SA grew 20% after the Companies have released better than it has been expected quarterly results.

Major indices on Wall Street finished the day by the significant growth. The joint efforts made by the central banks to increase the liquidity on the credit and capital markets supporting the major stock indices. After the day before the FOMC has reduced its interest rate by 50 basic points to 1.00%, the central banks of some Asian countries reduced their interest rates as well. Besides, the FRS opened the dollar swaps with a number of central banks, namely those of Brazil, Mexico and South Korea. The less, than it has been expected, decrease of the GDP growth of the USA last quarter and the record profit of the oil giant Exxon also positively influenced the moods of the investors. The quarterly profit of the Exxon Mobil Corp. has turned out to be the record one for the history of the corporative America and grew 57% year/year to $14.83 billion.
Avon Products Inc. announced about the 13% growth of sales to $2.6 billion and the doubling of the net profit to $223 billion. The result, nevertheless, turned out to be much lower than it has been expected. The profit of the Allied Waste Industries Inc. grew four times in relation to the previous period and made up $112.5 million.
Delta Air Lines Inc Del. bought Northwest Airlines for $2.8 billion. As the result there was founded the largest airline company in the world.
Visa Inc. managed to reduce the quarterly losses to $356 million instead of $1.66 billion last year. In accordance with the report released today, the preliminary esteem of the GDP growth of the USA last quarter made up -0.3% instead of 2.8% growth of the previous period. The economists have expected 0.5% reduction of the rate.
Wall Street was also supported by the growth on the world stock markets. Thus, South Korean index KOSPI skyrocketed today record 12%. The indices a bit reduced after the announcement of the president of San-Francisco FRB Jeanette Ellen that the latest economic data cause very serious concerns and in the fourth quarter the growth is very likely to decrease.

Closing bell of the stock marke:

Nikkei +589.98 +7.7% 8,211.90
Topix +46.29 +5.9% 830.32
FTSE    +316.16    +8.05%    4,242.54
DAX    -14.76    -0.31%    4,808.69
CAC +287.65  +9.23%     3,402.57
Dow    -74.16    -0.82%    8,990.96
NASDAQ    +7.74    +0.47%    1,657.21
S&P    -10.42    -1.11%    930.09
10yr Note    +0.5400    +0.141%    3.874%
NYMEX Crude Oil    +4.77    +7.60%    67.50
Gold    +13.50    +1.82%    754.00

On Wednesday Japanese major indices finished the session by the growth the second day running thus reacting to the possible reduction of the rate by the National Bank of the country. This became the result of the record for the last three decades fall of yen against dollar, thus raising the perspectives of the export-oriented economy of the country in general and the electronics producers, in particular.
The stocks of the Honda Motor Co., for which the growth of yen caused the significant reduction of the quarterly revenue, grew 18% showing the maximum daily growth for the last 34 years. The stocks of its largest competitor Toyota Motor Corp., the cost of which is now lower than that of the basic capital, grew 10%. The stocks of the largest producer of the consumers’ electronics Panasonic Corp. grew 4.6%. The quarterly revenue of the company turned out to be better than the analysts’ forecasts. The stocks of the Promise Co., the company providing services in the sphere of the consumers’ crediting, grew at the maximum rate for the last 8 years. The Promise raised the forecast of the quarterly revenue.

European major indices (apart from the German Dax) also finished by the growth the second session running. The reduction of the cost of the interbanking loans supported the stocks of the financial establishments while the higher commodity prices supported the stocks of the metal producers and oil companies.
Today the national indices grew on all the 18 West European markets apart from Germany.
The stocks of the British bank Royal Bank of Scotland grew 13%. The stocks of the insurance companies Allianz and Аха skyrocketed 26% and 18%, correspondingly. The three-month dollar rate Libor fell 0.05% to the 3.42% level. According to the data of the British Banking Association, the Libor rate has been reducing the thirteenth day running.
The stocks of the world largest mining companies Rio Tinto Group and BHP Billiton Ltd. grew 19% and 14%, correspondingly. The prices on the copper skyrocketed today 14% to the level of $4.670 per ton.
Against the background of the oil prices growth the Royal Dutch Shell Plc.’s stocks increased 12%. The Daimler AG’s stocks grew 21% after the Мerrill Lynch has raised their rating to “buy” from “neutral”.
German auto-giant Volkswagen for less than a day was the world capitalization leader. On Wednesday its stocks collapsed 45%. The cause of this became the announcement of the Porsche about the increase of its share in the company.
Deutsche Boerse, the operator of the main markets of the FRG, announced that the share of the Volkswagen’s stocks in the DAX index will be reduced to 10% since according to the results of the heavy growth during the day the stocks made up 27% of the DAX index’s weight. The cost of the Porsche’s stocks skyrocketed 37%.

Major indices on Wall Street finished Wednesday’s session in a mixed way. Alongside the growth of the Nasdaq index, the indices Dow and S&P suffered losses.
Seven out of ten major economic sectors finished the session below the zero mark. At the beginning of the session the investors were optimistic about the release of unexpectedly strong report of the durable goods (+0.8% instead of -1.1% forecast). Corporative reports also inspire certain optimism: the Kellogg presented better quarterly results than it has been expected and released positive forecast for 2008 financial year. The profit of the Comcast, Kraft and Newmont Mining exceeded the experts’ forecasts. The results of the Corning, Garmin and Moody’s turned out to be better than those of the previous quarter. Nevertheless, the companies released careful forecasts. Office Depot and Qwest reported the reduction of the financial results. The component Dow Procter & Gamble presented stronger than those forecast quarterly results: the sales and the profit of the company both increased. Nevertheless, the P&G warned that according to the results of the whole year the profit might come short of the expectations. As a result the price of the company’s stocks fell 3%.
General Motors announced about the 19% reduction of sales in the third quarter on the market of North America.
Kraft Foods announced about two-times growth of profit due to $2.6 billion got from the sale of its branch the Post.
The prices on the Treasury books have been reducing. The profitability of the ten-year bonds grew to 3.81% instead of 3.77% on Thursday evening. At today’s meeting the FRS, as it has been expected, reduced the rate by 50 basic points to the 1.00% level. In their declaration the members of the FOMC marked “the obvious retardation of the economic activity” and expectations of the inflation decrease “to the levels compatible with the price stability”.
“There is still risk of the economy retardation. The committee will thoroughly control economic and financial events, and act in the direction of the support of the healthy economic growth and price stability”.

Yen went on suffering losses against dollar in the course of activization of growth on the world stock markets as well as due to the speculations about the possible intervention of the Bank of Japan in order to restrict the uncontrolled consolidation of the national currency. Besides, the rumors appeared on the market that the Central bank of the country might resort to the reduction of the interest rate at the meeting which takes place on the nearest Friday.
The markets were supported by the evidences that the measures taken by the government in order to revive the credit markets start to show some results. Thus, according to the data of the British Association of the Bankers, the three-month dollar rate Libor yesterday reduced 0.04 per cent points to 3.47%. The tendency of the reduction of the major indicator of the cost of the credit resources has been observed for 12 days running and may testify to a certain decrease of tension on the world credit markets.
Dollar has preserved its positions against the main currencies despite the release of another portion of the weak economic data. In October the consumers’ moods reached the historic minimum and the prices on the housing have been reducing for 25 months running. The American currency is also supported by the apprehensions that the things in Europe are not that great as well as by the expectations of the large-scale interest rates reductions in the region. In his Monday’s speech the president of the European Central Bank Jean-Claude Triche announced that next week the Central Bank might once again reduce the interest rates.
EUR/USD having tested the two-year minimums of $1.2330, according to the session results the pair managed to consolidate above $1.2800 level.
GBP/USD according to the session results the pair consolidated more than 600 points.
USD/JPY during yesterday’s session yen lost 600 points against dollar.
Today the most important event will be the announcement of the FRS’s decision as for the rate on Wednesday at 18:00 GMT. There are no doubts that the rate will be reduced at today’s meeting. The majority of analysts expect the reduction of the rate by 25 basic points to the level of 1.25%. In the morning one may expect a rich block of economic data of Great Britain, namely: consumers’ crediting, M4 crediting and M4 monetary suggestion. Among the American data one should point out the release of data as for the orders on the durable goods at 12:30GMТ. There is also expected the reduction of the orders by 1.0% against the factor of the previous month at the rate -4.5%.

The following data were published:
09:00    Germany   Index of mood in the business circles of the IFO Institute    October    90.2
09:00    Germany    Index of business expectations of the IFO Institute    October    81.4
09:00    Е15    Monetary aggregate М3, year/year    September   8.8%
14:00    USA    Housing sales on the primary market September    464К
23:50    Japan    Retail sales   September    -0.4%

Yen partially restored in the course of profit fixation, having reached the maximum rate against euro and restoration of the thirteen-year peak against US dollar. Nevertheless, it is impossible to talk about the changes of the market situation at the moment. The ongoing financial crisis makes the investors minimize the risks reducing carry trades and increasing demand for the safe assets, which remains the main factor of the support of yen and dollar. During the last month the growth of the Japanese currency against dollar made up 14%, against euro it increased 33% and in relation to the Australian dollar it reached 55%.
Euro was affected by the statistics released which showed the worsening of the index of the mood in the business circles of Germany to 90.2 level (minimal for the last five years) in October against the rate of the previous period at the level of 92.9 and expectations of 90.5.
In the course of his speech the head of the ECB Jean-Claude Triche said that at its next meeting planned on November 6th the Central Bank would go on reducing the interest rates in order to revive the economic growth in the region.
Somehow to restrict the rate of the yen growth could the speculations about the possible intervention to prevent the further growth of the Japanese currency. Nevertheless, according to the announcement of the Minister of Finance of France Christine Laggard, the countries of the Great 7 do not plan to take such measures.
Before its restoration, the British pound has been under the pressure after the publication of another report, testifying to the further fall of prices on the housing in Great Britain.
EUR/USD according to the session results, the pair reduced insignificantly. Having opened the trading session of the week in the area of $1.2530, the pair managed to renovate the two-year minimums reaching the rate of $1.2330. After this it went back above $1.2450 level.
GBP/USD having tested the six-year minimums of $1.5265, the pair came back above $1.5500 level.
USD/JPY the rate traded in Y92.00-Y94.40 terms.

The main events of Tuesday will be the publication of the index of the consumers’ confidence of Germany (07:00 GMT, the average forecast 1.5 against the previous rate of 1.8) and later - USA (14:00 GMT). At 21:45 GMТ the data of New Zealand trade balance will be released. The data of Japanese industrial production are expected to be released at 23:50 GMT.

Japanese major indices finished the week by a fall. According to the weekly results the Nikkei index fell 12%, while the losses of the Topix made up 9.9%. Besides, it should be pointed out that the Nikkei index, having gone back 9.6% on Friday, has reached the minimal mark since April 2003 and closely approached the minimal level since 1982. The cause of the indices’ fall on Friday became the weak data of the Sony and Toyota’s income as well as the growth of yen to the 13-year maximums against dollar. Sony’s stocks, 75% of the sales of which fall on export, have fallen 14% to the minimal level since 1995. The stocks of the Japanese largest car maker Toyota went back 6.4%. Sony reduced 57% the forecast of the yearly revenue due to the growth of yen and retardation of the global economy.
As for Toyota, the Company announced about the first since 2001 reduction of quarterly sales of its automobiles in the world.
The price of the stocks of the Canon Inc., Panasonic Corp. and Sharp Corp. fell 12% since together with the growth of yen there fell the efficiency of the overseas sales of the companies oriented to export.

According to the weekly results, European major indices fell as well. The British FTSE went 5.4% back during the week, the losses of the German DAX made up 10%. The cause of the European indices’ reduction is also the apprehensions of the investors about the retardation of the global economy which negatively influences the income of the corporations. On top of the indices’ reduction were the stocks of the financial establishments, mining companies and car makers.
The stocks of the HSBC lost 8.4% after the Morgan Stanley has reduced 3% their assessed value to the level of $1.11 this year and 10% to the level of $1.05 in 2009.
The stocks of the HBOS Plc., the British bank buying the Lloyds TSB Group Plc., fell 9.3%.
The stocks of the BHP Billiton Ltd., the world largest mining company, fell 1.7%.
The price of the copper supposed to be delivered in three months suddenly reduced 5.3% against the background of the global economy retardation.
The stocks of the Daimler AG fell to the 12-year minimum due to their rating decrease.
Despite the overall sales, the stocks of the Volkswagen AG grew 7.9%. The largest car maker of Europe announced about 3.9% growth of car sales for the first time during the last nine months due to the growth of demand for the goods on the emerging markets.

The losses of the major indices of the USA made up more than 5%. The apprehensions as for the global economy retardation went on causing the negative pressure on the indices.
The crisis on the credit market, weak forecasts of the companies as for the forthcoming quarters and the fall of the commodity prices prove the swift decrease of the world economy.
Despite the reports that since November the OPEC will reduce the oil production up to 1.5 barrels a day, the prices on the “black gold” went on falling and on Friday reached the minimal for the last 17 months level of   $62.85 per barrel.
It is worth paying attention to the statistics released, which turned out to be rather positive against the background of the crisis on the financial markets. In September the existing home sales turned out higher than the analysts have expected and made up 5.18 million instead of the expected 4.92 million.
This week about 140 companies which are components of the S&P released their financial results. According to the Thomson Reuters’ calculations, the average profit reduced 10.9% in comparison with the analogous period of the last year.
On Thursday after the end of the trading session the Microsoft announced its quarterly sales and profit, which have exceeded the analysts’ forecasts. But at the same time the soft-giant warned about the possible decrease of the financial rates during the forthcoming quarters in connection with the economy retardation.
It became known that the PNC would buy regional bank National City. The amount of the bargain makes up $5.6 billion.
Against the background of indices there grew the price of the treasury bonds, thus decreasing their profitability.

Closing bell of the stock market:

Nikkei    -213.71    -2.46%    8,460.98
Topix -17.53 -2.00% 871.70
DAX    -51.37    -1.12%    4,519.70
CAC    +12.69    +0.38%    3,310.87
Dow    +172.04    +2.02%    8,691.25
NASDAQ    -11.84    -0.73%    1,603.91
S&P    +11.36    +1.27%    908.14
10yr Note    -0.8400    -0.232%    3.534%
NYMEX Crude Oil    +1.09    +1.63%    67.84
Gold    -20.50    -2.79%    714.70

Japanese stock indices have suffered losses the second trading session running. Investors apprehend that the retardation of the world growth rate combined with the consolidation of the yen rate will cause the weakening of the export. The stocks of Mazda Motor Corp. renewed the five-year minimum after it has become known that the growth of export last month turned out to be three times weaker than it has been expected. The stocks of Olympus Corp. collapsed 11% in connection with the fall of euro rate against yen. Inpex Corp. – the largest oil company – lost 7.1% of their stocks’ cost after the oil price reduced to 16-month minimum.  Tokyo Electric Power Co. gained 2.6% due to the growth of demand for the stocks of the company, the profit of which least depend on the reduction of the economic growth.

European stock indices closed without a definite tendency, nevertheless their largest part suffered losses after the ABB Ltd. has reported the reduction of orders. Daimler AG reduced its forecast and the stocks of the representatives of the raw materials and mining sectors fell because of the apprehensions as for the reduction of demand for metals in connection with the fall of the rates of world economy growth. Daimler lost 1.3% after the world second largest producer of de luxe automobiles stopped the realization of the redemption of its own stocks.
The stocks of BHP Billiton Ltd. and Rio Tinto Group reduced more than 6% after the price on copper has fallen below $4.000 mark per ton.

On Thursday the indices on Wall Street finished extremely volatile session by an impressive rally. Having opened the trading session with losses, the indices managed to restore and finish the day on the positive area after the tests of the weekly minimums of Dow and S&P 500.
The growth of stocks of Mobil, Boeing, and 3M supported Dow which became the leader among the major indices. Nevertheless, since the beginning of the week the Dow’s losses have made up 4.2%, Nasdaq reduced 6.5%, S&P 500 – 5.3%.
Consumers’ sector is an absolute outsider, having lost 0.8% since the beginning of the week. Investors are afraid that due to the growth of unemployment rate, toughening of the credit terms and financial crisis the consumers’ expenses on the essential commodities will reduce.
Corporative news: the insurance company Allstate Corporation announced that the net loss according to the third quarter results made up $923 billion or $1.71 per stock in connection with the large payments to those suffered from the hurricanes as well as with the more than $1 billion losses of the investment activity.
The world’s largest biotechnological company Amgen Inc. announced about the 5 times growth of quarterly revenue due to the growth of sales of the medicine against anemia.
Amazon.com, Inc. announced that the sales and the operating income would fall short out of expectations.
Pharmaceutical company Bristol-Myers Squibb Company announced about the three times growth of quarterly results up to $2.6 billion or 46 per stock.
The largest chemical company of the USA Dow Chemical Company announced about the 6% growth of quarterly revenue to $428 billion. The growth of prices on the final output helped to compensate the growth of prices on the raw materials and energy resources.
Investment bank Goldman Sachs Group, Inc. is going to reduce 10% of its staff which makes up 3.250 employees, the Wall Street Journal reports.
Xerox Corporation presented the forecast of quarterly revenue which turned out to be weaker than the analysts have expected.

The following data were published:
00:30    Australia    Index of consumers’ prices 3 quarter    1.2%
00:30  Australia    Index of consumers’ prices , year/year    3 quarter    5.0%
08:30    Great Britain Journal of Bank of England    from 08.10
12:30    Canada    Retail sales August   -0.3%
12:30    Canada    Retail sales apart from automobiles    August   -0.3%
14:35    USA    Stocks of the crude oil, billion barrels    17.10    3.2M
20:00    New Zealand    Announcement of the Reserve Bank of New Zealand as for the interest rate 6.50%
23:50    Japan    Balance of trade, billion yen    September    0.095
For the first time since 2006 euro has fallen against dollar below $1.28 level. At the same time pound set the five-year minimum against American currency against the background of speculations on the market that European central banks would go on reducing interest rates in the light of the global economy recession.
Euro also suffered against yen since the decrease of the stock markets provoked investors to reduce the activity in the carry trade sphere.
Pound fell to the week minimums against euro after the comments by the head of the Bank of England Mervin King who has announced that the economy of Great Britain has been suffering recession already. Later the Prime Minister of the country Gordon Brown agreed with King’s announcement. In the journal of the Bank of England’s meeting published in the morning it is remarked, namely, that “significant worsening of the economic situation will cause further weakening of the inflation pressure”. According to the manager of the Central Bank Mervin King, the reduction of prices on the energy resources may lead CPI to the goal level 2009. This fact actually gives green light to the further reduction of the interest rate.
The decrease of the stock indices caused further consolidation of yen which, according to the session results, grew against major currencies.
EUR/USD having shown minimums at $1.2743 level, the pair insignificantly consolidated. In the afternoon the rate traded in terms of $1.2800-$1.2950.
GBP/USD having opened the trading session in $1.6700 area, the pair fell to $1.6130. The rate finished the trading session at $1.6220 mark.
USD/JPY according to the session results the losses of the rate made up about 250 points. Having begun Wednesday trading session at Y100.30 level, the rate showed minimums at Y97.20 and then went back to Y97.90 area.

Today in the morning it is worth paying attention to the September report as for the retail sales of Great Britain which will be released at 08:30 GMT. At 09:00 GMT there will be published the data as for the dynamics of industrial orders in the industry sector of Eurozone. Traditional data about a number of asking for unemployment benefit in the USA during the last week will be published at 12:30 GMT.   At 14:00 the attention of the markets will be caught by the index of prices on accommodation in August. The report of the Bank of Canada as for the monetary policy will be released at 14:30 GMT.

On Thursday Japanese stock indices collapsed after the day before it has become known about a sudden decrease of retail sales in the USA – the main trading partner of the country. This fact provoked the apprehensions as for the enhancing of the recession of the world largest economy. One more reason for the pessimism of Japanese investors became the doubts of the Prime Minister of the country Таро Асо that the measures taken to support the banking system will be able to prevent the crisis on the stock markets. As a result, Nikkei 225 Stock Average and Topix suffered the greatest losses since October 1987.

The stocks of the Honda Motor Co., more than a half of the profit of which is generated by the sales on the markets of North America, fell 10%. The decrease of the Nintendo Co.’s stocks reached the lowest possible level of 10% during the trading session in Osaka after it has become known about the decrease of retail sales in the USA the third month running. 90% 0f the profit the Company gets from the sales on the USA’s territory.

Toyota Motor Corp.’s stocks fell 9.3%, and the stocks of the Sony Corp. – the world second largest producer of the consumer electronics – fell 13%. The stocks of the JFE Holdings Inc. – Japanese second largest producer of steel and alloy metals – collapsed 15% after the UBS AG has reduced 64% the goal level of the Company’s stocks and reconsidered the investment rating of the sector to the neutral level. The Nippon Steel Corp.’s stocks lost 9.4%as well as the stocks of the Kobe Steel Ltd. The stocks of the oil company Inpex Corp. lost 14% which became an absolute record during the history after the oil price has fallen to the minimum level during the year.

On Thursday European stock indices closed again with the losses. During the last two days Dow Jones Stoxx 600 Index has suffered the largest losses since 1987 in connection with the growing apprehensions as for the fact that the measures taken by Europe and the USA will not be able to prevent the global recession. The stocks of the Rio Tinto Group and Vedanta Resources Plc. collapsed more than 13% after the USA’s publication of the report in accordance with which the decrease of the industrial production in the country turned out to be the most significant for the last 34 years.

The price of copper including delivery in December fell 4.55 cents or 2.1%, to $2.165 per pound and during the trading session it reached $2.0405, minimal price since January 6^th, 2006. Total SA’s stocks fell 9.2% after the oil price has fallen to $70 per barrel. Royal Dutch Shell Plc. - the largest oil company of the region – lost 7.2% of its stocks’ cost. November oil of the Crude Oil brand fell $5.97 or 8%, to $68.57 per barrel. Barclays Plc. and ING Groep NV lost more than 11% of their stocks’ cost after the Citigroup Inc. has announced that the losses connected with the late repayment of debts of credit cards and mortgage notes might reach record rates.

According to the results of Thursday’s session, which turned out to be rather changing, the major indices on the Wall Street consolidated. Having fallen 380 points, the Dow index finally managed to restore its losses and show significant growth (+ 4.7%).
All the ten economic centers consolidated today. The maximum growth was shown by the components of the power generating sector (+ 6.74), minimum growth was observed in the financial sector (+ 1.6%).
Due to the problems on the credit market two banks - Citigroup (-$0.33) and Merrill Lynch (+$0.11) suffered losses in accordance with the reports of quarterly results. The stocks price of the Swiss bank giant UBS (+$0.67) grew up after it has become known that the Swiss government invests about $5 billion into the company and National Bank of Switzerland will buy UBS’s problematic assets in the amount of $60 billion. The quarterly revenue which has exceeded the analysts’ expectations were announced by the Nokia (+$0.43), UnitedHealth (+$0.96), Conglomerate United Technologies (+$3.63).
The power generating sector managed to grow despite the decrease of oil prices. November futures WTI Nymex finished today’s regular trading session below $70 per barrel. The fall of prices on the “black gold” supported the airlines whose quarterly revenue turned out to be better than it has been expected (Southwest Airlines +$0.93, ContinentalAirlines +$2.91).
Economic data appeared to be mixed: in September CPI 0.0% m/m; +4.9% year/year. The index core grew 0.1% m/m; +2.5% year/year. Initial Jobless Claims -16k to 461.000. The net purchase by the non-residents of long-term securities in August (August TICS) grew up to $14 billion against $8.6 billion in July, industrial production in September fell 2.8% (against – 1% in August and 0.0% in July). The FRS announces that the consequences of the hurricanes and strikes in the airline companies “caused serious reduction of the industrial production”. Capacity utilization reduced 2.3 basic points to 76.4%.

Closing bell of the stock market:
Nikkei    +99.90    +1.06%    9,547.47
Topix -0.79 -0.10%  955.5
FTSE    -314.62    -7.16%    4,079.59
DAX    -337.56    -6.49%    4,861.63
CAC    -247.45    -6.82%    3,381.07
Dow    -733.08    -7.87%    8,577.91
NASDAQ    -150.68    -8.47%    1,628.33
S&P    -90.18    -9.04%    907.83
10yr Note    -0.1200    -0.030%    4.011%
NYMEX Crude Oil    -2.83    -3.60%    75.80
Gold    -0.50    -0.06%    839.00

On Wednesday Japanese major stock index Nikkei 225 Stock Average managed to compensate the losses suffered in the morning and closed on the positive territory. Investors raised the demand for the stocks of the companies least dependent on the growth rate of the global economy.
The stocks of the Takeda Pharmaceutical Co. – the country’s largest pharmaceutical company – grew 6.2%, and the stocks of the tobacco producer Japan Tobacco Inc. grew 8.5%. The growth was also observed in the banking sector. Mizuho Financial Group Inc.’s stocks grew 3.4%, the stocks of the Japanese largest bank Mitsubishi UFJ Financial Group Inc. gained 1.4%. Topix Banks Index managed to compensate the losses suffered in the morning in the amount of 3% and closed with 0.4% growth. The stocks of Tokyo Gas Co.  – the country’s largest gas company – skyrocketed 8%. Tohoku Electric Power Co.’s stocks grew 6.7%. The stocks of the largest sea transport company Nippon Yusen K.K. fell 6% after the prices on freight have reduced to their minimal level for 3 years. The UBS AG reduced the goal esteem f the cost of the Nippon Yusen’s stocks. The Ministry of Finance announced that according to August results  the deficit of the foreign trade has reached the record mark. The growth of prices on the energy resources caused 20% growth of import in comparison with the previous period. Export growth made up 0.9%.

On Wednesday European stock indices suffered for the first time during the last three days. The fall of the retail sales in the USA and unemployment growth in Great Britain to the two-year maximum caused the activization of apprehensions as for the inevitability of recession in Europe despite all the measures taken to support the financial system of the region. BHP Billiton Ltd.’s stocks collapsed 15%. The stocks of the Xstrata Plc. collapsed 20% in the course of the reduction of the prices on metals, namely copper, lead, tin and nickel, on the London stock market. Vedanta Resources Plc.’s stocks reduced 17% since the financial crisis may ruin the purchase of the Asarco LLC. The KBC Group NV’s stocks fell 19% after the company has announced about the quarterly losses. The Total’s stocks lost 6.9% in the course of oil prices fall in New York to $4.06 or 5.2%, to $74.57 per barrel.

The indices on the Wall Street went on to fall. Apprehensions whether the measures taken by a number of governments to support the financial institutions, define the present situation on the markets.
The fact that 98% components of S&P 500 ended the day on the negative territory as well as 29 out of 30 Dow’s components testifies to the scale of pressure on the sales. The only exception was Coca-Cola’s stocks.  Today the Coke presented positive quarterly results. The Coke has been demonstrating two-digit growth of profit per stock the eighth quarter running, results constantly exceeding the experts’ forecasts. All the ten main economic sectors closed on the negative territory. Power generating sector turned out to be an absolute outsider due to the apprehensions in reference to the general economic situation and reduction of prices on the raw materials.
Futures on the crude oil went 4.0% cheaper to $75.50 per barrel, petrol fell 4.5% to $1.79 per gallon and gas reduced 2.9%.
Government’s report about the reserves of the raw materials will be published on Thursday 15:00 GMT instead of 14:35 GMT as it usually happens since Monday is a holiday. The fewest losses were suffered by the sector of essential goods. In general, the quarterly results turned out to be stronger than it has been expected although some companies presented careful forecasts.
The results of Abbott Labs, Coca-Cola, Intel, CSX and State Street exceeded expectations. The quarterly results of Charles Schwab, JPMorgan Chase, Marshall & IIsley and Wells Fargo exceeded the expectations of the Wall Street although were weaker than last year results.
Genentech announced about the growth of the profit which, nevertheless, turned out to be lower than it has been expected. Delta Airlines reported the losses due to the growth of fuel price.
Economic news: the retail sales in the USA fell 1.2% after 0.4% reduction the month before. By the end of the session the sales have intensified and the indices closed in the session minimums area. The release of a large number of quarterly results is supposed to take place on Thursday. Among the largest companies one should name eBay, Citigroup and Merrill Lynch.

Closing bell of the stock market:
Topix +115.44 +14.00%  956.30
Nikkei    +1,171.14    +14.15%    9,447.57
FTSE    +137.31    +3.23%    4,394.21
DAX    +136.74    +2.70%    5,199.19
CAC    +97.02    +2.75%    3,628.52
Dow    -76.62    -0.82%    9,310.99
NASDAQ    -65.24    -3.54%    1,779.01
S&P    -5.34    -0.53%    998.01
10yr Note    +1.6200    +0.420%    4.023%
NYMEX Crude Oil    -2.56    -3.15%    78.63
Gold    -3.00    -0.36%    839.50

On Tuesday Japanese stock market ended the trading session by the record growth after the plans as for fighting with the crisis on the credit markets, published by the US government and governments of a number of European countries the day before, have caused a serious reduction of apprehensions in reference to the inevitable collapse of the world markets. Nikkei skyrocketed 14.2%, thus breaking the longest period of its fall during its 59-year history. It should be mentioned that the achievements of 202 components of the index have exceeded 10%.
Sumitomo Mitsui Financial Group Inc. and Mitsubishi UFJ Financial Group Inc. became the leaders of growth in the banking sector rising more than 14% after the announcement about the intention of the US government to buy the stocks of the American largest banks. Sony Corp. became the leader of growth in the sector of Japanese exporters which consolidated its positions due to the reduction of the yen rate. The stocks of Sony, whose 25% of sales fall on the USA market, grew 17%.
Additional support to the market was given by the announcement of Japanese government that the sale of the stocks belonging to the government may be held up in order to support the demand for them.

On Tuesday European stock indices went on growing after the US government has announced about its plans to invest $250 billion into the largest banks of the country.
The stocks of the German largest bank Deutsche Bank AG and British Barclays Plc. gained more than 10%. UBS AG’s stocks grew 12%. French Societe Generale SA consolidated its positions 8.2% after it has announced about getting the quarterly profit as well as after the announcement that it does not need additional financing. National indices grew on 15 markets of Western Europe. Stock indices of Belgium, Iceland and Netherlands suffered losses. The stocks of Fortis lost more than 70% and caused the fall of the Belgian BEL20 and Dutch AEX.
Major index of Iceland fell 77% after the recovery of the trading after the collapse of the country’s banking system.

Wall Street failed to continue yesterday’s rally because of the sales in the technological sector. Indices were opened by the significant growth after yesterday’s rally, according to the results of which S&P 500 grew 11.6% - maximal result since 1930s. At the moment S&P 500 is trading 24% higher than its many years minimum set last Friday.
Consumers’ activity was supported by the plan of settling down the financial crisis adopted by the US government. According to the plan US Treasury Department will buy the preferred stocks of the American financial institutions in the amount of $250 billion.
Nine world largest banks Goldman Sachs, Morgan Stanley, JPMorgan Chase, Bank of America, Merrill Lynch, Citigroup, Wells Fargo, Bank of New York, Mellon and State Street will get financing from the Treasury Department in the amount of $125 billion. One of the terms of taking part in the program which is, by the way, voluntary is the restriction of the compensations to the authorities and stopping of the so-called “golden parachutes”.
On Tuesday Bush’s administration presented the re-capitalization plan of the American banks in order to settle down the credit crisis threatening the global economy.
Namely, it is planned to invest $250 billion into nine largest banks. Apart from this, the Federal Deposit Insurance Corporation guarantees new debt issues of the main banks for three years and makes them free from the limit of insurance guarantee in the amount of $250.000 of interest-free bank deposits.
Corporative news: as it has been expected the quarterly profit of the bio-pharmaceutical company Genentech Inc. will make up 85 cents per stock. The profit of the third quarter will be 85 cents per stock, as the analysts polled by the FactSet Research suppose.
Johnson & Johnson announced that the quarterly profit of the company has grown 30% due to the growth of sales of consumers’ goods and medical equipment as well as due to the last year restructing of the company.
The producer of fresheners PepsiCo, Inc. presented weaker, than it has been expected, quarterly results and announced about its intention to reduce 3.300 working places due to the retardation of the global economy growth.
The sales in the technological sector which activated in the afternoon caused the market fall.
Qualcomm, Google, Microsoft, Amazon.com and eBay reduced on the negative territory although in the morning they showed significant achievements. Any other reasons for the sale of the stocks of the largest representatives of the technological sector apart from the fixation of the profit were not traced.
The growth of the influential financial sector restricted the negative influence of sales in the technological and material sectors and supported the market at the end of the regular session. Nevertheless, the indices ended the day on the negative territory.
On Wednesday the attention of the market will be concentrated on the quarterly results. Intel and Genentech will publish their reports after the end of the trading session and Abbott Labs, Coca-Cola, JPMorgan Chase and Wells Fargo will present their results on Wednesday before the beginning of the session.