STOCK MARKET WATCH, Wednesday October 3

[ozymandius]

Source: du

STOCK MARKET WATCH, Wednesday October 3, 2007

COUNTING THE DAYS
DAYS REMAINING IN THE * REGIME 475 LONG DAYS
DAYS SINCE DEMOCRACY DIED (12/12/00) 2462 DAYS
WHERE'S OSAMA BIN-LADEN? 2174 DAYS
DAYS SINCE ENRON COLLAPSE = 2135
Number of Enron Execs in handcuffs = 19
ENRON EXECS CONVICTED = 10
Enron execs conveniently deceased = 3
Other Arrests of Execs = 54

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U.S. FUTURES & MARKETS INDICATORS
NASDAQ FUTURES-----------------------------S&P FUTURES

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AT THE CLOSING BELL WHEN BUSH TOOK OFFICE on January 22, 2001
Dow - 10,578.24
Nasdaq - 2,757.91
S&P 500 - 1,342.90
Oil - $27.69/bbl
Gold - $266.70/oz.

AT THE CLOSING BELL ON October 2, 2007

Dow... 14,047.31 -40.24 (-0.29%)
Nasdaq... 2,747.11 +6.12 (+0.22%)
S&P 500... 1,546.63 -0.41 (-0.03%)
Gold future... 736.30 -17.80 (-2.42%)
30-Year Bond 4.78% -0.02 (-0.42%)
10-Yr Bond... 4.53% -0.03 (-0.61%)






GOLD, EURO, YEN, Loonie and Silver

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PIEHOLE ALERT

Heads Up!
Preliminary info on appearances by Bush & Co. throughout the country. Details & links are added as they become available so check back. And if you know more, are organizing something, or would like to, contact [e-mail]

For information on protests and other actions Citizens For Legitimate Government

---

Read more: du

[ozymandius]

1. Market WrapUp: MIRROR MIRROR

BY FRANK BARBERA, CMT

What a strange world we live in. For those who live their lives blissfully unaware of the machinations of the financial markets, the ‘ups and downs’ of the various markets must seem like one big mass of confusion. One day, things are negative and getting worse, the next, things are just fine and the stock market is hitting all time highs. Perhaps at no time, has the contrast between the action in the markets and the trend for Main Street been as divergent as what we have seen in the summer of 2007. Consider the Credit Crisis, where over $500 billion in value has been removed from the Commerical Paper Market, where thousands of Home Owners face major mortgage resets, where untold quantities of CDO paper remain un-priced and cloaked from view “off balance sheet”, and where the news in Housing business practically couldn’t get any worse. A casual glance at the headlines of just the last two weeks paints a pretty telling view of where the underlying economic trend is really going.

Yet in the world of equities, stock prices as measured by the Dow Jones Industrial Average yesterday closed at a new all time high ? Ask yourself, from July until now, have things gotten better, or have they gotten materially worse ? Is the stock market justified in residing at new all time highs, as indicator after economic indicator points the way to a recession ahead ? On the surface it appears to be sheer madness, but markets being discounting mechanisms have put forth this rally as a monument to their confidence in the Fed. A strange world indeed, where even as stock prices in Dollar terms reach for new all time highs, in non-dollar terms the DJIA resides 33% below its all time high seen in June 5th, 2001.

Isn’t this propaganda? As a nation, are Americans really any wealthier today then we were a few years ago when the Dollar had greater value? What are these stock indices supposed to measure if not wealth? Looking at the vast majority of currency charts for the DJIA in foreign currencies, the US is becoming less wealthy over time, as the amount of money it takes other countries to buy one share of the DJIA continues to shrink. For American’s, we live in the great miasma of ‘Bubble Vision’ and Fed Speak, where like pavlovian dogs we are trained to react to new highs in the major averages? --- Here’s a new high, get excited! --- Never mind the man behind the curtain, ---The Wizard of Ben, -- who is pulling the levers to make the value of our money decrease. At what point is a worthless dollar a bad thing? If having very cheap paper money is the key to economic growth, why not devalue the whole pile in one shot ? The answer is that, as folks in Brazil, Argentina, China, Hungary and Zimbabwe and many others have all found out in recent decades, cheap money is only a quick ticket to national bankruptcy, a poverty stricken nation, and a dying economy. Rejoice because the DJIA hit a new all time high yesterday? Mirror, Mirror on the wall, --which markets are the fairest of them all? --- When we look in the mirror of our markets priced in terms of other people’s money, -- it is a sad picture, a picture of a debt-laden economy producing the classic symptom of depreciating monetary values. Mirror, Mirror on the wall, shall we rejoice? – A look at the charts shows there is nothing—nothing, to rejoice about.

What ever happened to the trend of the Currency as a measure of confidence?

http://www.financialsense.com/Market/wrapup.htm

[ozymandius]

2. Today's Reports

10:00 AM ISM Services Sep
Briefing Forecast 54.0
Market Expects 55.0
Prior 55.8

10:30 AM Crude Inventories 09/28
Briefing Forecast NA
Market Expects NA
Prior 1842K

http://biz.yahoo.com/c/e.html

[ozymandius]

3. Oil prices hold above $80 a barrel

BANGKOK, Thailand - Crude oil futures held above $80 a barrel Wednesday in Asia after falling three straight days from last week's near-record levels.

Light, sweet crude for November delivery rose 16 cents to $80.24 a barrel in Asian electronic trading on the New York Mercantile Exchange by midday in Singapore. The Nymex crude contract fell 19 cents to $80.05 a barrel Tuesday.

-cut-

The dollar has been rebounding against several currencies, though, and dollar-denominated commodities have become less of a bargain.

-cut-

Analysts surveyed by Dow Jones Newswires expect, on average, that crude inventories fell 400,000 barrels in the week ended Sept. 28, while gasoline inventories grew 400,000 barrels.

Refinery use likely rose by 0.4 percentage point to 87.3 percent of capacity, the analysts said, while inventories of distillates, which include heating oil and diesel fuel, likely grew 700,000 barrels.

http://news.yahoo.com/s/ap/oil_prices

[ozymandius]

4. GM gains, Ford clobbered in September sales

DETROIT (Reuters) - General Motors Corp (GM.N) gained ground against rivals in September with a 4 percent U.S. sales increase while Ford Motor Co (F.N) sales plunged 18 percent and Toyota Motor Corp (7203.T) sales were off 1 percent for a third monthly decline.

Overall U.S. auto sales steadied in September after adjusting for the number of sales days. That bucked Wall Street expectations for a decline in the closely watched indicator of consumer demand, sales results released on Tuesday showed.

The adjusted 1 percent gain in industry-wide sales came despite a housing downturn and a tightening of credit blamed for driving lower income buyers out of the market for new vehicles in recent months.

"It's very difficult out there for a lot of families," said Aaron Bragman, an analyst with industry tracking firm Global Insight. "You've got high gas prices. You've the risk of foreclosures."

-cut-

Industry-wide U.S. sales were 1.31 million vehicles for September, up 1 percent on an adjusted basis from 1.35 million a year earlier, according to sales results compiled by Reuters. Without that adjustment, sales were down almost 3 percent.

http://news.yahoo.com/s/nm/20071002/bs_nm/auto_sales_dc

[ozymandius]

5. Pending home sales fell 6.5 pct in August

WASHINGTON (Reuters) - Pending sales of previously owned homes fell a surprising 6.5 percent in August as buyers struggled to get loans, indicating the dire housing market could worsen, according to an industry report released on Tuesday.

The National Association of Realtors Pending Home Sales Index fell to a reading of 85.5, the lowest since records began being kept in January 2001.

The previous low for the index of a month's signed contracts was 89.8 in September 2001, in wake of the attacks on New York and Washington.

Two separate reports released on Tuesday indicated that retail sales remained soft in September.

The decline in the homes sales index was sharper than the 2.1 percent decline economists were expecting for August and comes after existing home sales for the month dipped to their lowest level in five years.

"The July number was revised up a bit, to a decline of 10.7 percent, but this is still absolutely awful, confirming that the existing homes market is now in free fall," noted Ian Shepherdson, the chief economist at High Frequency Economics. "There is no sign that the bottom of the market is near. With price declines accelerating, real mortgage rates are very high; the downside from here is still substantial."

...lots more...

http://news.yahoo.com/s/nm/20071002/bs_nm/usa_economy_dc

[AnneD]

33. Just what we need....

more surprised economists......:eyes:

[ozymandius]

6. Good morning everyone.

:donut: :donut: :donut:

I am away to teach again today. Yesterday was a blast with ninth graders. Today will probably be as much fun with fourth graders.

Be careful around those futures charts. The first step is a lu-lu.

Bye!

Ozy :hi:

[AnneD]

24. Morning Marketeers....

:donut: Ozy, 4th graders are fun. They keep you on your toes. I liked high school, but I love elementary. I enjoy the amazement and joy the kids have at learning new things. Things I teach today they can remember for a lifetime.

Well, fall is here. The state fair has started and this weekend is the Texas-OU game at the Cotton Bowl. I spent my formative years in Fort Worth. I would hear stories of the wild and woolly days when cattle would be brought from all over the state to be shipped to Chicago. In fact, when I was a child, my first exposure to a Stock Exchange was literally a 'live stock' exchange.

The sidewalks in old Ft. Worth bear witness to our history. They are over 4-6 feet above the cobblestone road. The road was a conduit to heard cattle to the exchange without local commerce being adversely affected. Who needed to go to Pamploma Spain-we ran with the bulls on a regular basis. And growth-all our markets were bull markets. :spray:

Now about fall in North Texas. The Texas-OU weekend hearkens back to the glory days of the Southwest Conference. It was a great source of pride and rivalry. It still continues to a degree. One hotel use to book OU folks and another booked Texas supporters. There was much beer drinking and chest pounding until the police and firefighter came out with the water hoses to clean the streets. Texas OU weekend was the one night when every girl under the age of 21 was grounded to the house, punishment or no.

The Texas/OU game marked the start of fall season for my step-dad. I used another barometer. I knew that soon after, the the Monarch Butterfly would descend into Ft Worth, resting in the oak trees, before completing their journey back to Mexico. Their colours matching perfectly to the changing colours of the trees-but in stark contrast to the bold blue cloudless fall skies. I loved to stand in the knolls-arms spread out and wait for the Monarchs to land on my sleeves. Sometime years I would be covered in them.

So this week end, get outside, scope out some pumpkins, take your kids out to a neighbor hood festival and make some memories. I have it on good authority that Fall is finally here.

Happy hunting and watch out for the bears.

[BB1]

7. and the dollar vs the euro:

Naam EUR/USD
Laatste Koers 1.42(11:57)
Verandering 0.00/(0.25%)
Vorige slotkoers 1.41
Openingskoers 1.42
Bied(volume) 1.42(177)
Laat(volume) 1.42(67)
Hoogste dagkoers(tijd) 1.42(09:00)
Laagste dagkoers(tijd) 1.41(00:17)


not going too well. Great shopping for us Europeans, though!

b

[OnceUponTimeOnTheNet]

8. K&R

[Ghost Dog]

9. World stocks, emerging assets on the boil

http://yahoo.reuters.com/news/articlehybrid.aspx?type=comktNews&storyID=urn:newsml:reuters.com:20071003:MTFH38359_2007-10-03_07-42-17_L03673855&pageNumber=0&imageid=&cap=&sz=13&WTModLoc=HybArt-C1-ArticlePage2

LONDON, Oct 3 (Reuters) - World stocks hit all-time highs for a third day on Wednesday and emerging market assets steamed ahead, while the dollar held off a recent record low as investors grow confident the worst of a credit crisis is over.

The disclosure by big investment banks this week of their credit-related losses led investors to shift their focus back on strong economic and corporate fundamentals, re-igniting a rally in risky assets.

"It's the same old picture of risk appetite returning," said Derek Halpenny, senior currency economist at BTM UFJ.

"A lot of the bad news is fully discounted ... and the market viewing as positive getting as much information out into the public domain as possible."

The MSCI main world equity index <.MIWD00000PUS> was up slightly on the day, having hit a record high earlier. The index is up 14 percent since January.

Emerging markets are on the boil, with MSCI's Asia ex-Japan index <.MIAPJ0000PUS> and broader emerging index <.MSCIEF> hitting record highs before trimming gains. Both indexes are up more than 30 percent since January.

"Equities appear to have been on drugs lately and have chosen to look beyond the poor Q3 results from banks," Calyon said in a note to clients.

/...

[Ghost Dog]

10. Asian Stocks Advance, Extending Record; Nikko Cordial Gains

http://www.bloomberg.com/apps/news?pid=20601080&sid=aJtHCCQLAiJQ&refer=asia

Oct. 3 (Bloomberg) -- Asian stocks rose for a fifth day, led by banks and brokerages, after Citigroup Inc. offered to buy the shares it doesn't own of Nikko Cordial Corp. and HSBC Holdings Plc climbed the most in more than three years.

Nikko Cordial, Japan's third-largest brokerage, surged by its daily limit while Nomura Holdings Inc. advanced. Cathay Financial Holding Co., Taiwan's No. 1 financial group, jumped to a two-month high after agreeing to buy China United Trust & Investment Corp.

``Recent financial market turmoil has created a buying opportunity for companies looking to expand through mergers,'' said Vickie Hsieh, who helps oversee $1.4 billion at President Investment Trust Corp. in Taipei. ``Investors should take these deals as a cue and look for investment opportunities.''

Venture Corp., Singapore's largest custom electronics maker, helped the Straits Times Index to a high after the city state's manufacturing growth accelerated. JFE Holdings Inc. gained after it raised the price of ship steel by 15 percent, suggesting higher raw-materials costs won't dent profitability.

The Morgan Stanley Capital International Asia-Pacific Index added 0.7 percent to 167.44 as of 4:06 p.m. in Tokyo, after a four-day, 4.8 percent rally that lifted the benchmark to a record. India's Sensitive index gained for the 11th day, adding 3.3 percent for the region's biggest advance.

Japan's Nikkei 225 Stock Average added 0.9 percent to 17,199.89, the highest since July 31. Hong Kong and New Zealand's benchmarks were the only ones to decline in the region. Markets in South Korea and China were shut for holidays today.

/...

[Ghost Dog]

12. Nikkei ends at 9-week closing high, Nikko surges

http://yahoo.reuters.com/news/articlehybrid.aspx?type=comktNews&storyID=urn:newsml:reuters.com:20071003:MTFH37937_2007-10-03_07-17-44_T102304&pageNumber=0&imageid=&cap=&sz=13&WTModLoc=HybArt-C1-ArticlePage3

TOKYO, Oct 3 (Reuters) - Japan's Nikkei average ended Wednesday at its highest level in nine weeks, led by Nikko Cordial Corp (8603.T: Quote, NEWS , Research) and rival brokerage houses after Citigroup (C.N: Quote, Profile , Research) said it would buy out minority shareholders in Nikko Cordial.

The benchmark has recovered 13 percent since its year-low hit in August as subprimes fears hit the global markets, but is still off 6 percent from its year-high logged in late February. So far this year, it is below 0.2 percent.

Buying also spread to real estate companies and other laggards as the market mood largely improved on the financial companies' advance, said Hiroyuki Fukunaga, chief strategist at Rakuten Securities.

"Investor appetite seems to have returned, and the uptrend might have started in earnest. I can relax and watch the market today," he said.

A jump in Softbank Corp (9984.T: Quote, NEWS , Research), which is seen as a barometer of retail investor sentiment, indicates those investors, who represent more than 20 percent of the overall trade, are also turning bullish, Fukunaga said.

The Nikkei average <.N225> rose 0.9 percent or 153.11 points to finish at 17,199.89, the highest close since July 31. Continued...

/...

[Ghost Dog]

13. Party like it’s 1999? Emerging markets fuel equity rally

http://www.ft.com/cms/s/0/7772eb26-7114-11dc-98fc-0000779fd2ac.html

On Monday morning, as fresh news of severe losses by the giant financial groups, UBS and Citigroup, revealed even more damage inflicted by this summer’s credit squeeze, the reaction of stock markets was clear. They rallied.

In Monday’s trading, the Dow Jones Industrial Average, still the most widely watched index of the US stock market, managed to top the all-time peak it reached on July 19. This was broadly representative of the most important developed market indices. The US S&P 500 index and Germany’s Dax index are within 1 and 2 per cent respectively of their mid-July highs.

Neither the S&P nor the Dow have closed as much as 10 per cent below their highs since July. Thus, technically, they never even suffered what analysts would call a “correction”. They were briefly more than 10 per cent below their highs at noon on August 17, but that afternoon regained all the ground they had lost as traders wagered, successfully, that the Federal Reserve would be forced to intervene the next day.

Meanwhile, emerging markets are on fire. The MSCI Emerging Markets Index is up more than 50 per cent over the past 12 months, and it has leapt up by more than 25 per cent since August 18, the day the Fed cut the rate at which it lends to banks. The biggest emerging markets have rallied even though they were already in nosebleed territory; in dollar terms, China’s Shanghai Composite is up 416 per cent since the beginning of last year, India’s Sensex is up 112 per cent, and Brazil’s Bovespa is up 133 per cent.

All of this has been achieved in the face of credit market conditions that have made finance much more expensive for companies. Cheap credit had been seen as a key factor in supporting equities, but now this crutch has been removed nobody seems concerned.

Chart: Emerging markets growth

The rally also comes in spite of continued exceptionally tight conditions in the money market, which suggest that the big banks at the heart of the world’s financial system are still anxious. Further, gold has just touched a 27-year high. Normally, when investors rush for the perceived safety of gold, it is because they are anxious about other securities and fear inflation.

Chart: US stocks

So why are equities rallying? The instinctive reaction of many in the fixed income markets is to put this down to stupidity. Equity traders simply do not know what they are doing, or at least do not understand the ramifications of the damage that has been done to the structured credit market.

Chart: Emerging markets

But there are more rational reasons for the equity rally. First, and most importantly, there is the Fed. Rate cuts tend to be good, at least initially, for stocks. If they are not, it is because they tend to coincide with the start of a recession. But the Fed’s action last week was plainly inspired less by worries about the economy than by a concern to avert a crisis.

Chart: MSCI World sector

Recent history, in turn, suggests that such “emergency” rate cuts by the Fed have the effect of inflating asset price bubbles. That is potentially great news for equity investors.

/read on, charts...

[Theres-a]

16. "as investors grow confident the worst of a credit crisis is over"

They are out of their minds. The only thing on the boil is the US Consumer. The melting pot has become a cauldron of frogs.

[Ghost Dog]

30. Yup. "Equities appear to have been on drugs lately"

I like that quote. And we're not referring to the deeply-meditative type of drugs here, either.

The media, I guess, is the most powerful of them all.

edit: see also this financial editorial in yesterday's Guardian:

Bacchanalian excess is so over - time for more of it
http://business.guardian.co.uk/viewpoint/0,,1767628,00.html
Nils Pratley
Tuesday October 2, 2007
The Guardian

It's a strange headline: Dow Jones hits all-time high as Citigroup's profits crash 60%. Yes, the market bought the line from Citigroup's Chuck Prince that his bank's third-quarter performance was "an aberration". The implication was that normal service will be resumed soon, so mark those shares up.

This plays exactly to investors' current mood. At the moment, no piece of bad news is regarded as devastating. The theory is that when terms such as sub-prime mortgages and collateralised debt obligations have entered the general vocabulary, the bad news has been digested and marked into share prices.

It is also assumed to be the point when the US Fed steps in to save the day. The chairman, Ben Bernanke, has performed to script. He has delivered a half-point cut in interest rates and the consensus view says a further quarter-point drop will follow.

For the optimists, it's a short step from there to believing the crisis is over. Even high-yielding private equity debt - the greatest source of Citigroup's woes - could look attractive again if base rates are low enough. Then Prince can declare that the music is playing again, Citigroup can bounce back on to the dancefloor and the third-quarter write-down of $3.3bn (£1.6bn) can be forgotten.

Certainly, Citigroup's calamities look small compared with those of UBS. The Swiss bank blew its reputation for financial prudence in 1998, when it found itself with a $700m exposure to the failing hedge fund Long-Term Capital Management.

Now it has recorded its first quarterly loss since those days and, as then, heads have rolled. It looks to be another case of UBS of playing in arenas - fixed-income and currency trading this time - where it lacked expertise.

But, as with Citigroup, investors were forgiving. UBS shares rose more than 2%, presumably on the same idea that one bad quarter won't alter the fact that profits for 2007 will still be substantial. And if the worst credit conditions for 20 years can be shrugged off so easily, then perhaps the gloom has been overdone.

In reality, this triumph of hope looks terribly fragile. These multibillion-dollar write-downs are accountants' estimates. There is comfort in seeing a number in print but it doesn't necessarily make those figures reliable. The story is still unfolding; the prices for buyout debt and mortgage-backed securities could still deteriorate.

Indeed, the real value of American mortgages will be partly influenced by the direction of house prices there. Rate cuts might cushion the blow but only if recession is averted.

Michael Bloomberg is not the only one who thinks the game is up, though his turn of phrase is more colourful. "The sun is rising on our borrowing bacchanalia," the New York mayor told the Tory conference yesterday.

So a resumption of normal service? If it happens it will be in the face of rising inflation, a falling dollar and wariness among foreign investors about funding Americans' debt habits.

It's not impossible in the short term: the Fed can make cash so unappealing to hold that it flows into shares. But, sooner or later, another credit bubble will surely emerge. Not everybody is ready to buy that soiled story again.

ie. it's the "Fed Put", again.

[Ghost Dog]

27. Emerging market boom replaces bursting U.S. bubbles

http://investing.reuters.co.uk/news/articleinvesting.aspx?type=stocksNews&storyid=2007-10-03T083729Z_01_NOA330875_RTRUKOC_0_ANALYSIS-EMERGING-MARKETS.xml&WTmodLoc=InvArt-R5-QuotesBox-2

LONDON (Reuters) - The bursting of U.S. housing and mortgage market bubbles has suddenly been replaced by emerging markets inflating, and world equities have got pumped up into the bargain.

With the herd mentality of global investors ever sharper, the Federal Reserve's decision two weeks ago to combat a U.S. credit market seizure with lower interest rate has stampeded investors to Asia, Latin America and elsewhere in the developing world.

Investment flows to emerging equity funds hit a 85-week high of $5.53 billion (2.71 billion pounds) last week, with redemptions from developed market funds providing most of this cash, according to EPFR Global, which tracks funds with $10 trillion in assets globally.

Non-Japan Asia received 53 percent of the total.

And the price action echoes that. MSCI's index of emerging market equities has accelerated more than 13 percent to record highs since the Fed cut on September 18 and has clocked up a whopping 36 percent gain so far in 2007. China's main bourse has more than doubled this year. Brazil is up some 60 percent.

"I worry about emerging markets looking into next year. They are the next bubble in this environment -- especially if the Fed decides to take back its insurance rate cut," said Phil Suttle, Director of Global Macroeconomic Analysis at the Washington-based Institute for International Finance.

Suttle said the Fed ease replayed a now almost routine response to western banking stress and looked set to perpetuate a cycle of market bubbles that moved from Asia in the mid-1990s to technology at the end of the decade and housing post-2001. Continued...

/...

[fedsron2us]

34. Jump off the deranged bull now

Start to take profits right now. Trim any American, British, and European equity that is highly geared to the credit cycle. Layer out of high-risk plays over the next ten days or so, until you reach a defensive level of exposure.

Do not ride this deranged speculative bull into late October. The balance of risk and reward are just too far out of kilter. Do not under any circumstances join the mad scramble for emerging market stocks. Cut positions in Latin America, Eastern Europe, Asia, and China.

So batten down the hatches until the storm passes. By all means keep very long-term investments or isolated `rifle-shot’ plays that buck the market.

Will it take a 25pc correction in New York, Frankfurt, and London to flush out the excesses? Or more? Japan’s Nikkei fell 81pc over fourteen years from a peak of 39,000 in December 1989 to a nadir of 7,600 in May 2003. Land prices in Tokyo fell by four fifths. House prices fell by over half.

True, Tokyo delayed recovery with a bad mix of policies in the 1990s. But are the bubbles in America, Britain, Australia, Canada, Ireland, Spain, Greece, Latvia, Romania, Kazakhstan, the Gulf, Argentina, and above all China, really that different from Japan’s errors in the late 1980s?

http://blogs.telegraph.co.uk/business/ambrosevanspritchard/september07/derangedbull.htm

Very bearish piece from the International Business Editor of the normally Conservative and pro business UK Daily Telegraph. The question is how long can the markets keep blowing new bubbles now that credit has become tighter ? I expect most traders are praying that it keeps happening just long enough for some of them to collect this years bonus.

[UpInArms]

11. dollar watch

http://quotes.ino.com/chart/?s=NYBOT_DX&v=i

Last trade 78.177 Change -0.120 (-0.15%)

ECB - No More Beyond 4%

http://www.dailyfx.com/story/topheadline/ECB___No_More_Beyond_1191319928106.html

Last night it only took 70 euro cents to purchase one US dollar as the EURUSD reached a new record high of 1.4260. As euro continues its relentless march upward against the greenback it is easy to imagine 1.4500 or even 1.5000 as the next big target for the pair.However, while the long term trend in the EURUSD remains up for the time being, this Thursday’s ECB announcement of its interest rate decision could prove to be a serious obstacle to further gains for the pair in the near term.

Consensus forecast call for the ECB to keep rates on hold and although President Jean Claude Trichet is likely to maintain a hawkish posture at the post announcement press conference there is good reason to believe that the current 4% rate may be the top in current tightening cycle as EZ economic growth shows evidence of peaking. Once the foreign exchange market begins to adjust to the notion of no additional rate hikes from the Euro-zone the euro rally may come to a grinding halt as traders abandon the idea of capturing further yield gains from the currency.

Eurozone Economy – Problems on the Horizon

Manufacturing Weakens

Although on the surface the economy in the 13–member region appears sound, the latest economic data suggests that EZ growth may be slowing substantially. The latest PMI manufacturing readings, while still signaling expansion recorded their lowest value in 18 months printing just above the 50 boom/bust line at 53.2. Looking beyond the headlines, the French PMI component came within whisker of falling into contraction territory as it printed at 50.5. Little wonder then that France has been the ,most vociferous opponent of higher euro as its industrial sector is clearly suffering from unfavorable exchange rate differentials.

...more...

Dollar Recovery Continues Ahead of Leading Indicators for Non-Farm Payrolls

http://www.dailyfx.com/story/bio1/Dollar_Recovery_Continues_Ahead_of_1191360779858.html

After falling to a record low last week, the US dollar continues to recover. Although some people have credited the rebound to the upcoming G7 meeting, the meeting is over 2 weeks away which means that other factors are definitely at play. With Thursday’s ECB and BoE monetary policy meetings as well as Friday’s non-farm payrolls report still due for release, there is a lot to worry about over the next few trading days as these events will also shed more light on how policymakers feel about the US dollar. Should the ECB or BoE express any concern about the weakness of the greenback or the strength of their own currencies, only then is there a big risk of tough criticism towards the US dollar. In the past, specific currency comments at G7 meetings have led to sharp market volatility. This is something to consider but not something to worry about until after we receive the non-farm payrolls report. In the meantime, tomorrow we have a lot of US economic data due for release, many of which are leading indicators for Friday’s payrolls number. We will be keeping a particularly close eye on the Challenger Layoffs report, the ADP employment report and the employment component of service sector ISM. Given the market’s extremely optimistic 98k forecast, it won’t take much to disappoint. However along the same lines, there are a lot of people still skeptical on whether payrolls can actually be that strong. Therefore any major drop in layoffs or increase in private sector employment could help extend the dollar’s rise. In the meantime, the weakness of the labor market continues to be a big drag on the outlook for the US economy. Last month, pending home sales dropped 6.5 percent. Not only was this far worse than market expectations, but it followed a 12.2 percent drop the prior month. This drop is particularly worrisome because pending home sales is a leading indicator of how existing and new homes sales will fare in the months forward. Even though the stock market is reflecting optimism, it is important to remember that the troubles in the US housing market are not behind us.

...more...

[Ghost Dog]

14. European stocks edge up as banks offset weak oils

http://investing.reuters.co.uk/news/articleinvesting.aspx?type=eurMktRpt&storyID=2007-10-03T111819Z_01_L03226434_RTRIDST_0_MARKETS-EUROPE-STOCKS-UPDATE-2.XML
Wed Oct 3, 2007 12:18 PM BST

PARIS, Oct 3 (Reuters) - European shares were slightly higher midday on Wednesday, adding to a two-session winning run as details of the impact of the credit crisis on Deutsche Bank (DBKGn.DE: Quote, Profile , Research) reassured investors and fuelled a rally in banks.

But retreating energy and telecoms shares limited the gains.

At 1051 GMT, the FTSEurofirst 300 <.FTEU3> index of top European shares was up 0.15 percent at 1,570.58 points.

Shares in financial institutions added to recent gains as investors were relieved by greater clarity on the impact of the squeeze in the credit markets on banks' results.

Deutsche Bank, which said it expected net profit to rise to more than $2 billion in the third quarter, despite more than $3 billion in write-downs in the wake of global credit market turmoil, gained nearly 3 percent.

The news followed profit warnings by Swiss bank UBS (UBSN.VX: Quote, Profile , Research) and Citigroup (C.N: Quote, Profile , Research) earlier this week, as both banks have been hit by the global credit crisis.

"People were expecting very, very bad news, so it's a relief rally," said Arthur van Slooten, strategist at Societe Generale, in Paris.

/...

[Ghost Dog]

26. European shares up for third day, banks lead gains

http://investing.reuters.co.uk/news/articleinvesting.aspx?type=eurMktRpt&storyID=2007-10-03T170437Z_01_L03329294_RTRIDST_0_MARKETS-EUROPE-STOCKS-UPDATE-3.XML

LONDON, Oct 3 (Reuters) - European stocks rose for the third day in a row on Wednesday as investors took comfort from banks providing clarity on the impact of the credit market crisis on their performances.

Banks again took pole position, with Deutsche Bank (DBKGn.DE: Quote, Profile , Research) up 2 percent and Credit Suisse (CSGN.VX: Quote, Profile , Research) rising 1 percent, after they said they see big opportunities when the global crunch, which has whacked profits, starts to recede.

The pan-European FTSEurofirst 300 <.FTEU3> index closed up 0.2 percent at 1,570.9, rising 1.3 percent so far this week.

This has boosted the year's gains to 6 percent so far this year, underlying a strong recovery from the lows in August during the turmoil in global markets.

The DJ Stoxx banking sector index <.SX7P> has advanced more than 4 percent this week.

"What is giving people comfort is that companies are putting some numbers so we can scale the problems and its impact on their profits," said Lucy MacDonald, chief investment officer for global equities at RCM, part of Allianz's asset management arm Allianz Global Investors. "People feared the worst and didn't know what the worst was. A month or two ago, there was a complete lack of visibility."

...

Around Europe, Germany's DAX index <.GDAXI> and France's CAC 40 <.FCHI> both edged up 0.1 percent and UK's FTSE 100 index .FTSE gained 0.5 percent.

/...

[Buttercup McToots]

15. USD $78.07 @ 8:55 am

me and my gold got spanked yesterday...ouch...
But today is another day...:hi:

[antigop]

17. State Street shares slip on suit

http://biz.yahoo.com/ap/071002/apfn_state_street_mover.html?.v=1

>>
Shares of State Street Corp. dipped Tuesday after a client sued the investment manager over losses in two of the company's bond funds.

A subsidiary of Prudential Financial Inc. sued State Street, claiming the insurer had to reimburse 28,000 clients for $80 million in losses on money parked in two of State Street's bond funds.

These funds touted themselves as conservative and unlikely to fall more than a group of other bond funds. However, one fund lost 25 percent and the other lost 12 percent in July and August, Prudential said.
>>

Now here's the problem:
>>
He said investors might re-evaluate keeping their money with State Street because its funds have performed poorly.
>>

If State Street manages the funds in your 401(k) you don't really have options, do you? (Other than quitting and rolling the funds into an IRA)?

<Edit to add> Maybe my tinfoil hat is going haywire.

[antigop]

18. Millionaire families grew by 14 percent in '06:survey

http://biz.yahoo.com/rb/071002/wealth_survey.html?.v=2

>>
The numbers of millionaire households globally grew by 14 percent in 2006 from 2005 and now control a third of the estimated $100 trillion in wealth, a new study by Boston Consulting Group released on Tuesday found.

These 9.6 million families, comprising 0.7 percent of world's households, now control some $33.2 trillion, the BCG study found. About half are located in the United States and Canada, a quarter in Europe and a fifth in the Asia-Pacific region, it said.

The study is the latest to quantify a continued widening of the global gap between rich and poor, with the rich getting richer by saving and investing more.
>>

They control a THIRD of the estimated $100 trillion in wealth.

[Nickster]

19. ADP Employer Services Says U.S. Added 58,000 Jobs

I think it's time for more tax cuts! /sarcasm

http://www.bloomberg.com/apps/news?pid=20601087&sid=aNDi_gZg7uHU&refer=home


Oct. 3 (Bloomberg) -- Companies in the U.S. added 58,000 in September, a private report based on payroll data showed today.

The increase followed a revised gain of 27,000 for the prior month that was less than previously estimated, ADP Employer Services said. Gaines averaged 98,000 a month from January through June.

Hiring has been slowing as a two-year housing recession and tighter access to credit weaken the economy, economists said. A softer job market gives Federal Reserve policy makers reason to lower their target rate again to boost growth.

[Roland99]

21. What a robust economy! And all those non-employed parents now lose healthcare on their kids!!!

"Heckuva job, George!"

[ozymandius]

36. Allow me to add my quip about W's grave.

When he's gone they will have to bury him in an unmarked grave just to staunch the flow of human excrement at his final location.

[MadinMo]

23. ADP Employer Services Says U.S. Added 58,000 Jobs

Do the numbers for "created jobs" also include jobs for American companies that are offshore? This is something I've suspected and wondered about for some time.

[TrogL]

20. Loonie Watch

Highlights

Current:



30-day and 90-day vs.greenback:



30-day vs. Euro, Yen, UK Pound and Swiss Franc




Currency Comparison: http://members.shaw.ca/trogl/looniewatch.html

Detailed analysis: http://quotes.ino.com/exchanges/?r=CME_CD

Up-to-the-minute graph: http://quotes.ino.com/chart/?s=CME_CD.Y%24%24&v=s&w=5&t=l&a=1

Historical values http://www.x-rates.com/d/USD/CAD/data30.html

2007-09-03 Monday, September 3 0.94697 USD
2007-09-04 Tuesday, September 4 0.953016 USD
2007-09-05 Wednesday, September 5 0.951656 USD
2007-09-06 Thursday, September 6 0.949307 USD
2007-09-07 Friday, September 7 0.948227 USD
2007-09-10 Monday, September 10 0.949487 USD
2007-09-11 Tuesday, September 11 0.958773 USD
2007-09-12 Wednesday, September 12 0.964134 USD
2007-09-13 Thursday, September 13 0.968617 USD
2007-09-14 Friday, September 14 0.971628 USD
2007-09-17 Monday, September 17 0.970214 USD
2007-09-18 Tuesday, September 18 0.977135 USD
2007-09-19 Wednesday, September 19 0.985513 USD
2007-09-20 Thursday, September 20 0.998901 USD
2007-09-21 Friday, September 21 0.999201 USD
2007-09-24 Monday, September 24 0.998901 USD
2007-09-25 Tuesday, September 25 0.9995 USD
2007-09-26 Wednesday, September 26 0.99552 USD
2007-09-27 Thursday, September 27 0.99691 USD
2007-09-28 Friday, September 28 1.00412 USD
2007-10-01 Monday, October 1 1.00715 USD
2007-10-02 Tuesday, October 2 0.9998 USD

Current values

http://quotes.ino.com/exchanges/?r=CME_CD) (I hope to write the script today)

Market Open High Low Last Change Pct Time
CD.Y$$ Cash 1.0054 1.0056 1.0045 1.0056 +0.0031 +0.31% 10:01
CD.Z07 Dec 2007 1.0048 1.0070 1.0045 1.0060 +0.0030 +0.30% 10:00
CD.H08 Mar 2008 1.0010 1.0019 1.0010 1.0034 -0.0070 -0.70% set 15:14
CD.M08 Jun 2008 0.9495 0.9495 1.0039 -0.0070 -0.70% set 15:14
CD.U08 Sep 2008 1.0037 1.0037 1.0037 1.0044 -0.0070 -0.70% set 15:14
CD.Z08 Dec 2008 0.9530 0.9530 0.9530 1.0043 -0.0070 -0.70% set 15:14
CD.H09 Mar 2009 1.0055 1.0060 1.0050 1.0042 -0.0070 -0.70% set 15:14



Other combinations: (this will be a table too)

AS.Z07 AUSTRALIAN $/CANADIAN $ Dec (NYBOT) 0.88030 -0.00275
AU.Z07 AUSTRALIAN $/US$ Dec (NYBOT) 0.88350 -0.00805
HY.Z07 CANADIAN $/JAPANESE YEN Dec (NYBOT) 115.185 -0.625
GB.Z07 EURO/BRITISH POUND Dec (NYBOT) 0.6978 +0.0016
EP.Z07 EURO/CANADIAN $ Dec (NYBOT) 1.41245 -0.00015
EJ.Z07 EURO/JAPANESE YEN Sep (NYBOT) 163.95 +1.24
EU.Z07 EURO/US$ (LARGE) Sep (NYBOT) 1.4175 -0.0090


Blather (from http://quotes.ino.com/exchanges/?r=CME_CD)

The December Canadian Dollar was higher overnight as it consolidates some of Tuesday's decline. Stochastics and the RSI are overbought but are neutral to bullish signaling that sideways to higher prices are possible near-term. Upside targets are hard to project if December continues to extend this fall's rally into new uncharted territory, Closes below last Wednesday's low crossing at .9913 would confirm that a short-term top has been posted. First resistance is Monday's high crossing at 1.0101. First support is the 10-day moving average crossing at crossing at 1.0019 then last Wednesday's low crossing at .9913.


Analysis

(from a few days ago)

>The bot's wrong. It's calling for a top. I'm not.

Well, at least it's given up on that. We're back to "uncharted territory".

>I'm sticking to my guns that we're not overbought - there's no end in sight. The trader bots think it's a brave new world.

OK, now I'm getting scared :scared:. I wanted the loonie to hover around parity for a variety of technical reasons related to trade deals, book prices, oil (of course) and NAFTA. Now I'm calling for a top at US$1.03, which is too high.

[Demeter]

22. It Feels Like Point Shaving

So the Feds goose the market to some predetermined "new high" and then let it sink down again--whose puts and calls are profiting, or is it a bookie operation?

The market stinks like last week's trash pickup.

[Amonester]

25. It's only a day-trading casino phenomena...

where a few make a fortune, and the rest of 'em gamblers go home broke.

[AnneD]

28. Another Democrat quits SEC

WASHINGTON — Annette Nazareth, a member of the Securities and Exchange Commission, announced Tuesday that she is leaving the agency for the private sector.

She is the second Democrat on the five-member panel to do so in a month.

It is the first time the market watchdog agency has lacked its full complement of five commissioners since the wave of corporate scandals in 2002.

The departures of Nazareth and Roel Campos, a Houstonian who left last month, could complicate the SEC's handling of a disputed shareholder rights initiative. The commissioners voted in July to open two competing proposals to public comment for 60 days; one of them could pave the way for competitive elections for board seats at U.S. public companies.

Reflecting the division over the issue, SEC Chairman Christopher Cox voted in favor of both proposals while expressing a preference for the more expansive one — which won the votes of Democrats Campos and Nazareth.

<snip>
http://www.chron.com/disp/story.mpl/business/5183430.html

Just a little trifle for you.:hide:

[Ghost Dog]

29. US markets 15:00 "profit-taking"

Dow 13,966.84 Down 80.47 (0.57%)
Nasdaq 2,724.52 Down 22.59 (0.82%)
S&P 500 1,538.03 Down 8.60 (0.56%)
10-Yr Bond 4.5450% Up 0.0160
NYSE Volume 2,192,916,500
Nasdaq Volume 1,478,694,500

3:00 pm : The stock market is at relatively the same level as the last update, but the S&P 500 joined the other major averages in setting a new daily low this afternoon of 1,536.34. The Nasdaq is underperforming as it has taken the biggest hit on this afternoon's move.

There is little on the agenda after the close, as the only companies reporting are Immucor (BLUD $35.12, -1.29) and Smart Modular Technologies (SMOD $7.83, +0.33).DJ30 -78 NASDAQ -22 SP500 -8 NASDAQ Dec/Adv/Vol 1838/1074/1.41 bln NYSE Dec/Adv/Vol 2116/1140/876 mln

2:30 pm : The Nasdaq has joined the Dow at new session lows, hitting 2,724.98 before bouncing modestly. The Dow tested support in the 13,960/13,950 range before a small bounce and the SPX came within hundredths of a point of today's low at 1,536.91. However, the stock market has for the most part hung out since the last update, with little in the way of news to drive it.

One of today's weakest sectors, Casinos, is back near its lows after a failed attempt at a rally. The group is paced by Las Vegas Sands (LVS $130.56, -14.00), which just set a new low of $130.33. The move began pre-market following commentary from Morgan Stanley that preliminary September Macau gaming revenue is below expectations. Other weak names with interests in Macau include: Wynn Resorts (WYNN $151.20, -14.63), Melco PBL Entertainment (MPEL $17.67, -1.25) and MGM Mirage (MGM $91.76, -3.14).DJ30 -81 NASDAQ -18.5 SP500 -8 NASDAQ Dec/Adv/Vol 1846/1032/1.31 bln NYSE Dec/Adv/Vol 2028/1203/775 mln

2:00 pm : The stock market has continued its drift lower on afternoon profit-taking. The positive market sentiment that has kept the major averages near Monday's highs over the last day and a half appears to be dissipating.

Of the major averages, the Dow has now set a new daily low of 13,961.55 and is sitting just above that level. The Nasdaq (2727.97 is the low) and S&P (1536.91 is the low) are both near the bottom of their respective trading ranges, with the latter having already broken through support at 1,540.

Note the Bond market has come off its lows with the sell-off in equities. The 10-year yield is now 4.539% after hitting a high of $4.569% earlier.DJ30 -79 NASDAQ -15.5 SP500 -7 NASDAQ Dec/Adv/Vol 1666/1179/1.16 bln NYSE Dec/Adv/Vol 1912/1294/710 mln

1:30 pm : Things have changed a bit since the last update, as the stock market has continued its pullback from intraday highs. The move appears to be another bout of profit-taking, as it has come on no specific news item.

The market is seeing intraday pressure in Home Construction (XHB), Semi (SMH), Retail (RTH) and Materials (XLB) on a relative basis with the S&P 500. Of the major averages, the S&P and Nasdaq are now trading in the middle of today's range, while the Dow is sitting near its low of 13,973.50.DJ30 -66 NASDAQ -11.5 SP500 -6 NASDAQ Dec/Adv/Vol 1595/1223/1.07 bln NYSE Dec/Adv/Vol 1776/1416/644 mln

1:00 pm : The major indices are down today, but given the scope of recent gains, today's showing won't cause any alarm for the bulls.

The continued outperformance of the financial sector (+0.4%) is a source of support in terms of market sentiment. The investment bank (+1.20%) and thrifts & mortgage (+1.2%) groups are leading the sector advance. Those two areas, of course, were among the hardest hit during the mid-summer sell-off that was sparked by the subprime mortgage and credit market turmoil.

The strength in the influential financial sector is helping to offset the weak showing from semiconductors today (-2.1%) and is keeping broader market losses in check.

DJ30 -36.09 NASDAQ -4.19 SP500 -2.94 NASDAQ Dec/Adv/Vol 1528/1282/973 mln NYSE Dec/Adv/Vol 1794/1370/595 mln

12:35 pm : The indices have seen a slight dip since the last update, but are still trading well above their intraday lows.

On top of retailer leadership, the consumer discretionary sector's (+0.6%) advance is being helped by the outperformance of Harley Davidson (HOG 49.34, +2.64). Harley Davidson has seen a healthy gain this morning after UBS noted that Q3 sales might be closer to flat to down 5% and not be as bad as the 22% decline in August suggests.

The dollar index is up another 0.17% after yesterday's rally. Gold is down 0.3% to $733.80 this session. The strengthening of the dollar yesterday contributed to the decline in gold futures.DJ30 -43.33 NASDAQ -6.29 SP500 -3.77 NASDAQ Dec/Adv/Vol 1481/1296/887 mln NYSE Dec/Adv/Vol 1721/1412/536 mln

12:00 pm : The stock market spent the morning in negative territory, but managed to bounce well off its lows shortly after the ISM services report at 10:00 ET.

The Institute for Supply Management services report for September came in at 54.8 versus 55.8 in August. The consensus estimate called for a reading of 55.0. The stock market managed to cut half of its losses following the report. A number above 50 is indicative of growth.

ADP, a payroll services company, estimated private employment growth for September of 58K, which is in-line with the consensus estimate. The ADP number didn't cause any upheavel ahead of the government's nonfarm payrolls report on Friday. Economists forecast nonfarm payrolls to have risen 100K in September.

The consumer discretionary (+0.7%) and financial (+0.5%) sectors are leading at this juncture. The financial sector finished as the leader in the last two trading sessions.

The energy (-0.7%), materials (-0.8%) and technology (-0.6%) sectors are trailing thus far.

The tech sector is trailing after Morgan Stanley initiated coverage of Intel (INTC 25.95, -0.43), AMD (AMD 12.94 -0.26) and NVIDIA (NVDA 36.33, -1.08) with Underweight ratings. Morgan Stanley said the stocks should be sold "ahead of what we expect will be an inventory correction and increasingly aggressive price environment.'' This annoucement has caused the semiconductor industry (-1.4%) to underpeform.

The Department of Energy reported weekly crude oil inventory levels rose 1.14 million barrels, versus the expectation for a draw of 550k barrels. Crude oil futures for November delivery were trading at $80.40 just prior to the report. After a short-lived dip below $80, they are currently trading at $80.19. DJ30 -15.04 NASDAQ -1.58 SOX -1.43% SP500 -1.07

/...

[AnneD]

32. Your presence....

Has been missed-welcome back.

[AnneD]

31. Judge ups Wal-Mart workers' award to $141 million

PHILADELPHIA — Wal-Mart workers in Pennsylvania who previously won a $78.5 million class-action award for working off the clock will receive an additional $62.3 million in damages, a judge ruled today.

About 125,000 people will receive an additional $500 because of a delay in compensation.

"The law in its majesty applies equally to highly paid executives and minimum wage clerks," Philadelphia Common Pleas Judge Mark Bernstein wrote.

"Just as highly paid executives' promised equity interests or put options or percentage of sale proceeds are protected fringe benefits and wage supplements, so too the monetary equivalents of 'paid break' time cashiers and other employees were prohibited from taking are protected fringe benefits and wage supplements," Bernstein wrote.


http://www.chron.com/disp/story.mpl/business/5184414.html

Love that line'the law in its majesty applies equally to high paid executives and minimum wage clerks'...Show some brotherly love....:woohoo:

[ozymandius]

35. The end result of today's dog 'n' pony show.

Dow 13,968.05 Down 79.26 (0.56%)
Nasdaq 2,729.43 Down 17.68 (0.64%)
S&P 500 1,539.59 Down 7.04 (0.46%)
10-Yr Bond 4.543% Up 0.014
NYSE Volume 3,065,317,750
Nasdaq Volume 1,916,909,000

4:20 pm : When looking at the losses in the equity market on Wednesday, keep these numbers in mind: +7.2%, +6.4%, +4.8% and +4.7%. Those were the percentage returns entering Wednesday's trading since the close on September 17th for the Russell 2000, Nasdaq, Dow, and S&P 500, respectively.

There is little mistaking the fact that the FOMC's rate cut on September 18th provided a bullish catalyst for the market. What happened today, then, was nothing more than a move to take profits from an overextended market.

Morgan Stanley initiating coverage of Intel (INTC 25.81, -0.57), Adv. Micro Devices (AMD 13.23, +0.03) and Nvidia (NVDA 35.82, -1.59) with Underweight ratings acted as a restraining factor today, as that call pressured the semiconductor group. The Philadelphia Semiconductor Index ("SOX") declined 2.1%.

A particularly weak showing from Micron (MU 10.74, -1.05), which reported its third straight quarterly loss, was an added factor behind the semiconductor group's weakness and the tech sector's (-1.0%) underperformance.

The materials sector (-1.3%) was the worst-performing sector. Its weakness is apt to generate some chatter about it being a sign the market is worried about a recession. Don't pay attention to that.

Like the broader market, the materials sector ran into profit taking after a remarkable run that saw the sector surge 8.1% from its close on September 17th. That move was aided by a weakening dollar, but the third consecutive gain in the dollar index (+0.3%) today helped spark the profit-taking activity.

Overall, there wasn't anything in today's trading action to suggest there are pressing concerns about the economy slipping into a recession. To wit, Treasuries were weak across the yield curve, retailers were among the best-performing stocks, and the financial sector (+0.01%) eked out a modest gain thanks to gains in the banking stocks.

The consumer discretionary sector (+0.3%) was the standout in the broader market. All other sectors, with the exception of financials and health care (+0.1%), ended the day lower.

A pair of economic releases helped assuage recession concerns for the time being. Prior to the open, ADP reported 58K new non-government jobs were created in September; and at 10:00 ET the ISM Services Index for September showed a reading of 54.8. While the latter was down from 55.8 in the prior month, it still painted a picture of growth as a number above 50 reflects expansion.

For the most part, the market is choosing to hold back on the economic assessment until it can catch a glimpse of the government's employment report on Friday. Economists are forecasting a 100K increase in nonfarm payrolls, which would be a welcome rebound from the 4K decline reported for August.DJ30 -79.26 NASDAQ -17.68 SP500 -7.04 NASDAQ Dec/Adv/Vol 1803/1135/1.88 bln NYSE Dec/Adv/Vol 2049/1223/1.25 bln