HONG KONG: Asian stocks bounced on Thursday after tentative steps by euro zone policymakers to tackle a crippling debt crisis, but investors remained wary that obstacles the bloc's leaders face could weigh on the euro and Asian currencies in the medium term.
China stocks are stuck in a narrow range for now, pulled up by prospects of credit easing in China and down by an unending flow of bad news about Europe's debt crisis.
As the yields on Spanish and French bonds reach Euro-era highs, American banks were revealed yesterday to have significant amounts of exposure to European debt.
Last week stocks soared after European officials hammered out a deal, but now investors are wondering whether the plan can be a long-term solution to sovereign debt crisis.
Spain's outstanding government debt rose 33.9 percent and totalled 461.99 billion euro ($619 billion) at the end of 2009, official statistics have said.
Yes, the doomsters and shorts will be out in force to trash the Euro-deal, but there will be buyers on dips. New trading range to be DJIA 12,540 - 11,650.
The market is shrugging off the surprising Apple (AAPL) earnings miss with futures set for a flat open. Media reports regarding efforts to solve a Euro zone debt crisis continue to be conflicted, leaving the market a bit indecisive this morning.
A potential resolution to the debt crisis in the eurozone helped to push shares of banks and credit card companies higher today. Optimism surrounding the situation and revised outlooks on Q3 expectations factored into gains in the sector.
Sales projections for October did little to boost shares of automakers. Concern of the euro debt crisis and questions over the strength could be maintained weighed on the companies.
The euro swung from plus to minute this morning, suggesting a possibility of a new uncertainty. Look for the DJIA to trade in the range of 12,800 - 12,935.
Negative reviews of last week's euro-summit are causing a sell off in stocks today. The DJIA stands to drop to 12,035 (S&P 500: 1240) today and tomorrow.
After Greece announced it would hold a referendum on the new austerity plan, U.S. stocks gapped down, erasing a week of euphoric gains and casting major doubt over the deal.
A report that the IMF would lend 600 billion Euros to debt-plagued Italy helped push the Hong Kong market sharply higher, although turnover remained weak.
The Hong Kong market rose sharply due to gains in Hong Kong-listed ADRs in the U.S. on Friday and to optimism Europe would solve its debt crisis at a regional summit on Wednesday.
Wall Street looking to the Euro-summit meeting this weekend for at least a partial solution to banking and sovereign debt issues. Bulls anxious to load up.
European Union finance ministers have agreed on a bailout package of nearly USD 1 trillion (750 billion euro) for Greece, as part of their concentrated efforts to prevent the debt crisis contagion from spreading to other nations.
India has cleared on Friday that it will keep unwinding economic stimulus deployed during the financial crisis and continue raising interest rates despite uncertainty linked to euro zone's debt woes.