U.S. Stocks Waver; Treasury Auctions $40 B

123jump.com Staff
12 Jan, 2010
New York City

U.S. stocks declined as investors grew cautious ahead of earnings from Intel and JP Morgan and other banks. Alcoa earnings failed to spark investor excitement. Treasury plans to raise $40 billion through bonds sale today totaling $84 billion in the week.

[R]11:00 AM New York – U.S. stocks declined as investors grew cautious ahead of earnings from Intel and JP Morgan and other banks. Alcoa earnings failed to spark investor excitement. Treasury plans to raise $40 billion through bonds sale today totaling $84 billion in the week.[/R]

U.S. stocks declined in the morning trading after the dollar fell and investors grew cautious ahead of bank earnings.

Trade deficit in November increased to $36.4 billion from $33.2 billion in October on exports slightly up to $137.0 billion and imports edged to $170.2 billion. The goods deficit decreased to $48.4 billion and service surplus increased to $36.4 billion.

Immediate month crude oil futures declined $1.02 to $81.50 a barrel and gold increased $1.10 to $1,152 an ounce.

Yields on 10-year U.S. Treasury bonds hovered near 3.73% and 30-year bonds near 4.64%.

The dollar declined as the U.S Treasury is scheduled to sell record $40 billion of bonds today totaling $84 billion for the week.

The UK trade deficit in goods and services decreased to £2.9 billion in November from revised deficit of £3.1 billion in October. The deficit on trade in goods fell to £6.8 billion in November compared to revised deficit of £7.0 billion in October.

Asian Markets Review

The Nikkei 225 Index in Tokyo closed higher 80.82 or 0.75% to 10,879.14, and Hang Seng index in Hong Kong decreased 84.88 or 0.38% to 22,326.64, and CSI 300 index in China higher 52.86 or 1.52% to 3,534.92. ASX 200 index in Australia decreased 51.20 or 1.03% to 4,899.50. The FTSE Bursa KL Composite index in Malaysia was lower 1.66 or 0.13% to 1,292.85.

The Kospi Index in South Korea increased 4.52 or 0.27% to close at 1,698.64. SET index in Thailand closed lower 1.71 or 0.23% to 745.24. JSE Index in Indonesia increased 27.35 or 1.04% to 2,659.55. The Sensex index in India decreased 104.20 or 0.59% to 17,422.51.

Europe Markets Review

In London FTSE 100 Index traded lower 45.17 or 0.82% to 5,492.90, in Paris CAC 40 Index decreased 36.79 or 0.91% to 4,006.30 and in Frankfurt DAX index traded lower 50.11 or 0.83% to 5,990.39. In Zurich trading SMI decreased 50.23 or 0.76% to 6,542.03.