(As of 7:15 am pacific)
After the worst daily decline
in months, the market has seen a slight bounce this morning. Positive earnings from Boeing and Facebook
have added some optimism, with Facebook shares up over 20%. Healthcare giants Eli Lilly and Bristol Meyers
Squibb both missed on top line revenues and AT&T reported quarterly
earnings that were in line with expectations.
In economic news, new home sales rose in October by 5.7% adding to the
recovery effort in the housing market.
The Fed will wrap up a policy meeting this afternoon with investors
looking to language on the economy and some outlook for interest rate direction
from the Fed. There have been rumors
this week of the Fed upping the size of its QE3 program but it appears those
rumors are far too premature. European
markets had a positive day despite some negative economic reports. A key report in Germany showed that business
confidence fell to the lowest level since February 2010 and manufacturing
throughout the euro-zone continues to slip. China reported a similar report which showed
their manufacturing activity actually increased in October, hitting a 3 month
high and cooling concerns of a Chinese “hard landing.” Oil is down and gold slightly higher as the
US dollar is mixed. Interest rates are
slightly higher. Volatility is down
today after jumping 15% during yesterday’s sell off. There seems to still be a negative tone on
the street over company earnings and the slight bounce we are seeing this
morning could just be traders “buying on the dip” of yesterday.
