Markets

Stocks were higher across the board overnight with the strength driven by better data in the US and China’s move to pump $60 billion of liquidity into their markets this week.

Thin rangy trade is the best way to characterise last nights price action as the last day of October was not the positive day that many hoped it would be.

When you have been in markets as long as I have you learn to take hyperbole with a grain of salt but when you hear crusty old meteorologists calling Hurricane Sandy and its convergence with another weather system a once in a life time storm you take notice.

From SF Gate earlier: The New York Stock Exchange and New York Mercantile Exchange canceled floor trading as Hurricane Sandy barreled toward New York City with the threat of a 10-foot storm surge and winds of 70 miles per hour.

One week out from the US Presidential Election, a Frankenstorm bearing down on the east coast and in particular New York, more corporate earnings and non-farm payrolls on Friday night and this could be an interesting week for markets.

Overnight the UK’s office of national statistics released Q3 GDP figures showing a rise of 1% for Q3 which was much better than the 0.6% expected and a nice reversal from the 0.4% fall in GDP reported for Q2.

I’ve been writing for a while now about the reality of poor earnings and revenues ultimately undermining recent elevated valuations in the stock market and last night reality bit hard across Europe and in the US as stock markets, crude, gold and copper all swooned.

Stock markets are under pressure again this morning and back toward the bottom of recent ranges as concerns of the global economy remain top of mind.

Markets celebrated the 25th anniversary of the 1987 stock market crash with a fall Friday.

Google had a shocker overnight releasing its earnings report early and by mistake but elsewhere it was a night of consolidation in the US as markets pulled back from its recent run.

Spain was the fulcrum again overnight as the market reacted to Moodys decision to leave the embattled nation with an investment grade credit rating.

Spain and earnings ignited a good night for stocks across both Europe and the US.

Stocks traded lower in Asia yesterday morning giving the S&P 500 a chance to test the important trend line support highlighted yesterday and then in European and US trade we saw a bounce as support held.

It is a big week for stocks and by extension risk assets – this is particularly so when you have a look at the technical set up in the S&P 500 on both the daily and weekly charts.

Stocks had a better day in Europe today for an irrational reason but a better day nonetheless.

Following on from the weakness the previous day and a very interesting snub from the boss of the PBOC who decided not to attend the IMF meeting in Tokyo, markets were in a funk again last night.

Following on from the World Bank’s downgrade of East Asian growth, the IMF yesterday cut its 2012 forecast for global growth from 3.5% to 3.3%, 2013 was also cut from 3.9% to 3.6%.

The World Bank downgraded its outlook for East Asia yesterday and Europe’s markets played catch up to the weaker close on Wall Street late Friday as markets drifted lower overnight.

Everyone is talking about the US unemployment rate which dropped to 7.8% last month, but the equity markets took a more sober view and the candlestick from Friday’s trade on the S&P 500 is on the ordinary side of ordinary.

The dealer played the risk-on card in the past 24 hours but the bullish bounce in Asia passed Europe by even thoughoil, the US dollar, gold and the Australian dollar reacted strongly to the improved sentiment.

Stocks were mixed overnight as the market continues to wait for non-farm payrolls on Friday.

Stocks were lower overnight apparently as some concerns about the coming earnings season and exactly what game Spain is playing weighed.

The see saw pattern of trade continued last night with Europe on a tear early and the rally continued even though the data on balance stills speaks of economic weakness.

Turkey shooting season continued Friday with markets deciding it was time for a bit of weakness in equities and some US dollar strength.

The only way is up, baby – for you and me now!