U.S. Stocks Decline; European Indexes Higher, Mixed Asian Markets

Devan Biswas
09 Nov, 2010
New York City

U.S. indexes declined at close and commodities advanced. Indexes in Europe closed higher and Asian markets closed mixed. European Union regulators fined nearly 800 million euros eleven airlines for coordinating security and fuel fees after 2001 terrorist attacks.

[R]4:10 PM New York – U.S. indexes declined at close and commodities advanced. Indexes in Europe closed higher and Asian markets closed mixed. European Union regulators fined nearly 800 million euros eleven airlines for coordinating security and fuel fees after 2001 terrorist attacks.[/R]

U.S. stocks traded lower as the dollar rose and commodities prices gained. Chevron Corp agreed to acquire Pennsylvania based Atlas Energy Inc for $3.2 billion and assume $1.7 billion in long term debt. Priceline.com and McDermott International gained on better than expected earnings.

Akamai Technologies plunged 4% after Netflix Inc dropped the company as its service provider. Atlas Energy Inc soared 35% after Chevron offered $3.2 billion for the company. Priceline.com and McDermott International surged after posting better than expected earnings.

Market indexes in Europe closed higher as the dollar declined and earnings lifted the sentiment. Munich Re lifted its earnings estimate and Hermes SCA and Deutsche Post reported better than expected earnings.

Poland government successfully sold 64% stake in the Warsaw Stock Exchange and raised $420 million. The Warsaw Stock Exchange rose as much as 23% on the first day in trading.

UK total production output increased 3.8% in September. Trade deficit decreased in the month to £4.6 billion compared to deficit of £4.9 billion in August. Vodafone Group reported fiscal first half sales increased 3.9% and operating earnings declined 1.2%

Stocks in Tokyo trading declined as the yen hovered near recent highs and companies report mixed earnings. Current account surplus in September soared 24% as exports surged 16%. Acom Co lowered its full year outlook and Isetan Mitsukoshi net plunged 90%.

Stocks in China region declined ahead of new foreign funds restrictions and property lending curbs. The yuan strengthened against major currencies. Banks and property developers fell.

Stock in Mumbai rose. Apollo Hospitals rose 0.2% after net profit rose 45.5%. State Bank of India plunged 4.4% after the largest bank in India reported flat profit. Sundram Fasteners gained 3% after net profit soared 63.5%. Thermax acquired European boiler manufacturer for 29.5 million euros.

Caribbean markets rebounded after trading generally lower for the last two weeks. The volume in Kingston trading rebounded close to daily average volume. Scotia Group and Pegasus Hotels of Jamaica closed higher.

Commodities, Currencies and Yields

Dollar edged up against euro to $1.375 and declined against the Japanese yen to 81.191. One UK pound fetched $1.597.

Crude oil decreased $0.59 to $86.13 a barrel for a front month contract, natural gas edged higher 13 cent to $4.21 per mBtu and gasoline decreased 0.59 cents to 217.26 cents.

Gold decreased $10.70 in New York trading to close at $1,392.50 per ounce, silver decreased $0.28 to $27.15 per ounce and copper for the front month delivery increased 1.65 cents to $3.97 per pound.

Yield on 10-year U.S. bond increased to 2.66% and on 30-year U.S. bond yield gained to 4.25%.