STOCK MARKET WATCH -- Tuesday, 14 October 2014

[Tansy_Gold]

[font size=3]STOCK MARKET WATCH, Tuesday, 14 October 2014[font color=black][/font]

SMW for 13 October 2014

AT THE CLOSING BELL ON 13 October 2014
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Dow Jones 16,321.07 -223.03 (-1.35%)
S&P 500 1,874.74 -31.39 (-1.65%)
Nasdaq 4,213.66 -62.58 (-1.46%)


[font color=green]10 Year 2.28% -0.03 (-1.30%)
30 Year 3.01% -0.03 (-0.99%) [font color=black]


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[font size=2]Market Conditions During Trading Hours[/font]
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(click on link for latest updates)
http://tools.investing.com/market_quotes.php?
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[font size=2]Euro, Yen, Loonie, Silver and Gold[center]

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[font color=black][font size=2]Handy Links - Market Data and News:[/font][/font]
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Economic Calendar
Marketwatch Data
Bloomberg Economic News
Yahoo Finance
Google Finance
Bank Tracker
Credit Union Tracker
Daily Job Cuts
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[font color=black][font size=2]Handy Links - Economic Blogs:[/font][/font]
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The Big Picture
Financial Sense
Calculated Risk
Naked Capitalism
Credit Writedowns
Brad DeLong
Bonddad
Atrios
goldmansachs666
The Stand-Up Economist
The Automatic Earth
Wall Street on Parade
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[font color=black][font size=2]Handy Links - Essential Reading:[/font][/font]
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Matt Taibi: Secret and Lies of the Bailout


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[font color=black][font size=2]Handy Links - Government Issues:[/font][/font]
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LegitGov
Open Government
Earmark Database
USA spending.gov
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[font color=black][font size=2]Handy Links - Videos:[/font][/font]
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Charlie Rose talks with Roubini
Charlie Rose talks with Krugman
William Black: This Economic Disaster
Bill Moyers with Kevin Drum and David Corn
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[font color=red]Partial List of Financial Sector Officials Convicted since 1/20/09 [/font][font color=red]
2/2/12 David Higgs and Salmaan Siddiqui, Credit Suisse, plead guilty to conspiracy involving valuation of MBS
3/6/12 Allen Stanford, former Caribbean billionaire and general schmuck, convicted on 13 of 14 counts in $2.2B Ponzi scheme, faces 20+ years in prison
6/4/12 Matthew Kluger, lawyer, sentenced to 12 years in prison, along with co-conspirator stock trader Garrett Bauer (9 years) and co-conspirator Kenneth Robinson (not yet sentenced) for 17 year insider trading scheme.
6/14/12 Allen Stanford sentenced to 110 years without parole.
6/15/12 Rajat Gupta, former Goldman Sachs director, found guilty of insider trading. Could face a decade in prison when sentenced later this year.
6/22/12 Timothy S. Durham, 49, former CEO of Fair Financial Company, convicted of one count conspiracy to commit wire and securities fraud, 10 counts of wire fraud, and one count of securities fraud.
6/22/12 James F. Cochran, 56, former chairman of the board of Fair, convicted of one count of conspiracy to commit wire and securities fraud, one count of securities fraud, and six counts of wire fraud.
6/22/12 Rick D. Snow, 48, former CFO of Fair, convicted of one count of conspiracy to commit wire and securities fraud, one count of securities fraud, and three counts of wire fraud.
7/13/12 Russell Wassendorf Sr., CEO of collapsed brokerage firm Peregrine Financial Group Inc. arrested and charged with lying to regulators after admitting to authorities he embezzled "millions of dollars" and forged bank statements for "nearly twenty years."
8/22/12 Doug Whitman, Whitman Capital LLC hedge fund founder, convicted of insider trading following a trial in which he spent more than two days on the stand telling jurors he was innocent
10/26/12 UPDATE: Former Goldman Sachs director Rajat Gupta sentenced to two years in federal prison. He will, of course, appeal. . .
11/20/12 Hedge fund manager Matthew Martoma charged with insider trading at SAC Capital Advisors, and prosecutors are looking at Martoma's boss, Steven Cohen, for possible involvement.
02/14/13 Gilbert Lopez, former chief accounting officer of Stanford Financial Group, and former controller Mark Kuhrt sentenced to 20 yrs in prison for their roles in Allen Sanford's $7.2 billion Ponzi scheme.
03/29/13 Michael Sternberg, portfolio mgr at SAC Capital, arrested in NYC, charged with conspiracy and securities fraud. Pled not guilty and freed on $3m bail.
04/04/13 Matthew Marshall Taylor,fmr Goldman Sachs trader arrested, charged by CFTC w/defrauding his employer on $8BN futures bet "by intentionally concealing the true huge size, as well as the risk and potential profits or losses associated."
04/04/13 Matthew Taylor admits guilt, makes plea bargain. Sentencing set for 26 June; faces up to 20 years in prison but will likely only see 3-4 years. Says, "I am truly sorry."
04/11/13 Ex-KPMG LLP partner Scott London charged by federal prosecutors w/passing inside tips to a friend in exchange for cash, jewelry, and concert tickets; expected to plead guilty in May.
08/01/13 Fabrice Tourré convicted on six counts of security fraud, including "aiding and abetting" his former employer, Goldman Sachs
08/14/13 Javier Martin-Artajo and Julien Grout charged with wire fraud, falsifying records, and conspiracy in connection with JP Morgan's "London Whale" trade.
08/19/13 Phillip A. Falcone, manager of hedge fund Harbinger Capital Partners, agrees to admit to "wrongdoing" in market manipulation. Will banned from securities industry for 5 years and pay $18MM in disgorgement and fines.
09/16/13 Javier Martin-Artajo and Julien Grout officially indicted on charges associated with "London Whale" trade.
02/06/14 Matthew Martoma convicted of insider trading while at hedge fund SAC (Stephen A. Cohen) Capital Advisors. Expected sentence 7-10 years.
03/24/14 Annette Bongiorno, Bernard Madoff's secretary; Daniel Bonventre, director of operations for investments; JoAnn Crupi, an account manager; and Jerome O'Hara and George Perez, both computer programmers convicted of conspiracy to defraud clients, securities fraud, and falsifying the books and records.
05/19/14 Credit Suisse, which has an investment bank branch in NYC, agrees to plead guilty and pay appx. $2.6 billion penalties for helping wealthy Americans hide wealth and avoid taxes.
09/08/14 Matthew Martoma, convicted SAC trader, sentenced to 9 years in prison plus forfeiture of $9.3 million, including home and bank accounts







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[font size=3][font color=red]This thread contains opinions and observations. Individuals may post their experiences, inferences and opinions on this thread. However, it should not be construed as advice. It is unethical (and probably illegal) for financial recommendations to be given here.[/font][/font][/font color=red][font color=black]

[Fuddnik]

1. Looks like the markets took a real drubbing since the last time I looked.

[Doctor_J]

2. there goes my 401k

Be working to the grave.

[xchrom]

3. The Eurozone's Industry Is Crumbling And Germany Is Signaling Recession

http://www.businessinsider.com/eurozone-industrial-production-october-2014-2014-10

The German government just cut its economy's 2014 GDP growth forecast to 1.2% from 1.8% and 2015 forecast to 1.3% from 2%.

This follows more awful figures from the Eurozone: industrial production dropped 1.9% in the year to August. Economists had expected a 1.6% drop between July and August, but got a steeper 1.8% decline.

A lot of that is driven by Germany's abysmal industrial figures. The powerhouse economy recorded a 4% drop between July and August.

"Even if production rebounds in September - quite likely given the partly calendar-related weakness of German data – the euro area’s industrial sector may well be back in recession following a small quarterly contraction in the second quarter," said Robert Kuenzel of Daiwa Capital Markets in a note this morning.

The performance of Europe's industrial sector is so awful that output levels are now below where they were four years ago, and more than a tenth lower than their pre-financial crisis highs:



Read more: http://www.businessinsider.com/eurozone-industrial-production-october-2014-2014-10#ixzz3G7TbPDeQ

[xchrom]

4. A New Leftist Resurgence Is Hammering Greek Stocks

http://www.businessinsider.com/a-new-political-crisis-is-hammering-greek-stocks-2014-10

The Athens stock exchange is getting hammered this morning. It's already down 4.29%, down below 1,000 for the first time this year, with polls showing a fresh political crisis looming for Greece.


Equities in Athens are sliding again, down to their lowest in more than a year, back below 1,000.

Greece's 10-year bond yield is also back above 7% for the first time in six months. During the euro crisis the yield went far higher, above 30% at times. But with the Eurozone's industry grinding to a halt, investors are on the lookout for any distress in the currency union's struggling periphery.


Greece's 10-year bond yield is back above 7% for the first time since March, as the far-left party's lead looks increasingly clear.

This is being put down to a poll out this morning which shows Greece's radical, left-wing and anti-austerity party Syriza well ahead of all other parties. They're 6.5% ahead of the governing conservative party this morning.

If Syriza won, they've suggested that the country could leave the euro, raising the prospect of "Grexit" (Greek exit from the eurozone), something that investors thought they'd seen the end of. It's not a one off either: a poll last week showed a similar lead for the radical leftists.

There isn't a Greek election scheduled for a couple of years, but it's not exactly uncommon for the country to have snap elections. Syriza are really in the lead, and would set Greece on a completely different course, and it doesn't feel like the rest of Europe is awake to that fact yet.



Read more: http://www.businessinsider.com/a-new-political-crisis-is-hammering-greek-stocks-2014-10#ixzz3G7UkJug2

Read more: http://www.businessinsider.com/a-new-political-crisis-is-hammering-greek-stocks-2014-10#ixzz3G7Udbqaw

[xchrom]

5. LEAKED: JPMorgan Earnings Come Out Before They're Supposed To, And They're A Miss

http://www.businessinsider.com/r-jpmorgan-posts-profit-as-legal-costs-ease-website-2014-10

(Reuters) - JPMorgan Chase & Co reported a third-quarter profit, as the biggest U.S. bank moved past the huge legal claims that caused it to book a rare loss in the same quarter last year, according to an apparently authentic document posted on website shareholder.com.

The data was posted earlier than JPMorgan earnings were scheduled to come out.

The bank posted net income of $5.6 billion, or $1.36 per share, in the three months ended Sept. 30, compared with a loss of $380 million in the year-earlier quarter, the document showed.

The $1.36 is a slight miss vs. expectations of $1.38.

A JP Morgan spokeswoman in the United States said she had no immediate comment.



Read more: http://www.businessinsider.com/r-jpmorgan-posts-profit-as-legal-costs-ease-website-2014-10#ixzz3G7YUHUrg

[xchrom]

6. 10 Things You Need To Know Before The Opening Bell

http://www.businessinsider.com/opening-bell-oct-14-2013-2014-10

Germany Investor Sentiment Is Negative And Europe’s Industry Is Crashing. Eurozone industrial production dropped 1.9% in the year to August and the ZEW index of German investors fell into negative territory for the first time since 2012.

Greek Equities Are Getting Hit Hard. Another poll shows far-left radicals Syriza in the lead and likely to win the country’s next general election, and the Athens stock exchange is not liking it.

Markets Are In The Red. In Europe, Britain's FTSE is down 0.5%, France's CAC is down 0.9%, and Germany's DAX is down 0.7%. Asia closed down with Japan's Nikkei plunging 2.4%. US futures are modestly higher.

Turkey Is Bombing Kurdish Fighters In Northern Syria. Turkish warplanes attacked Kurdish fighters in the first significant air operation against the militants since the launch of a peace process two years ago.

Daimler Earnings Are Up Solidly. German car and truck maker Daimler reported a 29-percent jump in quarterly core earnings at Mercedes-Benz Cars, its biggest business.



Read more: http://www.businessinsider.com/opening-bell-oct-14-2013-2014-10#ixzz3G7Yx7k00

[xchrom]

7. Citi Beats Earnings

http://www.businessinsider.com/citigroup-q3-earnings-2014-10

Citigroup Reports Third Quarter 2014 Earnings per Share of $1.07; $1.15 Excluding CVA/DVA1

Announces Strategic Actions in Global Consumer Banking to Reduce Footprint from 35 to 24 Markets

Net Income of $3.4 Billion; $3.7 Billion Excluding CVA/DVA

Revenues of $19.6 Billion; $20.0 Billion Excluding CVA/DVA

Net Interest Margin Increased to 2.91%

Net Credit Losses of $2.1 Billion Declined 14% Versus Prior-Year Period

Utilized Approximately $700 Million of Deferred Tax Assets

Basel III Tier 1 Common Ratio of 10.7%2

Estimated Basel III Supplementary Leverage Ratio of 6.0%3

Book Value Per Share Increased to $67.31
Tangible Book Value Per Share4 Increased To $57.73

Citi Holdings Assets of $103 Billion Declined 16% from Prior-Year Period and Represented 5% of Total Citigroup Assets at Quarter End



Read more: http://www.businessinsider.com/citigroup-q3-earnings-2014-10#ixzz3G7Zc6Qte

[xchrom]

8. Wells Fargo Earnings Come Right In Line With Expectations

http://www.businessinsider.com/wells-fargo-q3-earnings-2014-2014-10

Wells Fargo reported its third quarter earnings Tuesday morning, and the numbers came right in live with expectations.

Analysts polled by Bloomberg expected the bank's revenue to come in at $21.11 billion with an adjusted earnings per share of $1.02.

The bank reported a third quarter earnings per share of $1.02 and a revenue of $21.2 billion.

The bank also reported a return on equity of 13.10%.



Read more: http://www.businessinsider.com/wells-fargo-q3-earnings-2014-2014-10#ixzz3G7a48pHN

[xchrom]

9. S&P 500 Companies Have Bought Back $2 Trillion Worth Of Stock Since 2009

http://www.businessinsider.com/buybacks-are-back-2014-10

Yesterday’s print version of the FT included an article titled, “Buybacks: Money Well Spent?” It makes the same argument that I have been making for the past few years: The Fed’s ultra-easy monetary policies, including NZIRP and QE, have given a tremendous incentive for companies to issue cheap debt to buy expensive stock. This has “diverted corporate cash from creating jobs and investment,” according to the FT story.

Let’s quickly review the data on this. S&P 500 buybacks have totaled $2.0 trillion from Q1-2009 through Q2-2014. Over the same period, net issuance of nonfinancial corporate bonds totaled $1.2 trillion. Operating profits of the S&P 500 companies totaled $4.4 trillion since Q2-2009. So S&P 500 buybacks amounted to 45% of their profits since Q2-2009, and over 50% during the first half of this year. In current dollars, capital spending in the GDP accounts increased from $1.64 trillion (saar) during Q2-2009 to $2.19 trillion during Q2-2014.



Read more: http://blog.yardeni.com/2014/10/buybacks-are-back-in-news-excerpt.html#ixzz3G7adnVHM

[Fuddnik]

10. Looks like the Gremlins are at work on the markets again.

Dow was up about 225 an hour ago. Now it's up 77.

[DemReadingDU]

11. DOW closes down -5.88

[Demeter]

12. Looks like they pumped up the DJIA, S&P 500 and NASDAQ 100 at the open

so that the cumulative losses would look smaller at the close of trading.

Bet it's treacherous in those Dark Pools, though.