4:30PM New York, 10:30PM Frankfurt, 6:30AM Sydney– Hewlett Packard earnings lifted tech stocks and energy stocks rally in the afternoon lifted U.S. indexes. Asian markets fell sharply as investors worry that recession in the U.S. and Europe will be longer and deeper than previously anticipated. Stocks in Japan fell 2.3%, in Shanghai dropped 7.4%, in Mumbai dropped 3.8% and in Australia declined 3.6%. A fall in UK inflation lifted stocks.

Global Markets

Stocks in Japan dropped 2.3% after property developers cut supply to lower inventories of unsold apartment units. Nearly 450 developers have been closed in the last one year on tighter lending and weak demand. Mitsubishi UFJ interim profit plunges 64%. Sony Financial Holdings net drops 27%.

UK inflation rate fell to 4.5% in October after rising to 5.2% in September. The drops in fuel and other consumer goods prices helped the index to drop. The inflation is likely to fall further in the rest of the year. Wolseley, the materials distributor plans to eliminate 2,000 staff positions.

Stocks in Hong Kong declined 4.5% and in Shanghai plunged 7.4%. Investors are increasingly factoring longer and deeper economic recession in the Western economies and lower exports from China. Broker comments forced Hong Kong Exchange down 8% and HSBC lower by 4%. Automakers gained on speculation.

Stocks in India fell 3.8% on global economic worries, falling exports, weak local demand and recent regional elections results. Rupee flirted near 50 to a dollar. Finance minister Chidambaram estimated that the economy will rebound in the next fiscal year to 9% on the rise in domestic demand.

Stocks in Australia dropped 3.6% on the weak global financial markets and declining economic growths in EU, Japan, China and the U.S. Citi Australia will cut its staff from the current 2,500. Australian stocks fall on recession worries. Macquarie Group reported profit in the first half dropped 43%.

North American Markets

Dow Jones Industrial Average increased 151.17 or 1.8% to a close of 8,424.75, S&P 500 Index closed up 8.37 or 1% to 859.12, and Nasdaq Composite Index increased 1.22 or 0.08% to close at 1,483.27. In Toronto, TSX Composite Index increased 40.28 or 0.5% to 8,835.73.

Of the 30 stocks in Dow Jones Industrial Average 20 closed higher and 10 closed lower.

Citigroup Inc led decliners in the Dow index with a fall of 16% followed by decreases in Boeing Company of 3.4%, in General Motors of 2.8%, in Verizon Communication of 2.5%, in Alcoa Inc and JP Morgan Chase of 1.9%.

Hewlett Packard led gainers in the Dow with a rise of 15% followed by gains in Walt Disney of 4.7%, Exxon Mobil Corp of 4%, in Chevron Corp of 3.7% and Home Depot of 3.6%.

Of the stocks in S&P 500 index, 268 increased, 224 decreased and 8 were unchanged. Of the index stocks, 66 rose more than 3%, 74 fell more than 3%.

CIT Group Inc led decliners in the S&P 500 index with a plunge of 26% followed by losses in Genworth Financial of 16.4%, in Medtronic Inc of 13.3%, in Macy’s Inc dropped 13.2%, in Liz Claiborne of 12.4% and in MBIA Inc of 12.1%.

Hewlett Packard led the gainers in the S&P 500 index with a rise of 14.5% followed by gains in First Horizon of 10.4%, in Yahoo! Inc of 8.7%, in XL Capital Limited of 8.5%, Wyeth of 7.9%, in Constellation Brands of 7.8%, in Morgan Stanley of 7.2% and in Eastman Kodak of 7%.

South American Markets Indexes

Brazil led decliners in the South American region with a loss of 4.5% followed by losses in Argentina with a decline of 4.45, in Mexico of 2.7%, in Colombia of 2.1%, in Chile of 1.4%, in Peru of 1.2% and in Venezuela of 0.7%.

Europe Markets Review

In London FTSE 100 Index closed higher 76..39 or 1.07% to 4,208.55, in Paris CAC 40 Index increased 35.37 or 1.11% to close at 3,217.40 and in Frankfurt DAX index higher 22.20 or 0.49% to close at 4,579.47. In Zurich trading SMI increased 29.15 or 0.52% to close at 5,675.58.

Asian Markets Review

GM	$33.70	0.84%
F	$15.05	-0.20%
GE	$23.57	0.47%
C	$51.60	0.29%
CIT	$45.05	1.35%
WMT	$77.40	-0.60%
HPQ	$21.18	-0.42%
YHOO	$26.58	0.23%

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