4:30PM New York, 10:30PM Frankfurt, 6:30AM Sydney– U.S. stocks edged higher after durable goods orders rose more than expected in July and matched the revised rated in June. Home builders in Japan file bankruptcy and Taylor Wimpey in UK reported first half loss. China COSCO, China Mobile and China Life reported better than expected earnings.

Global Markets Update

U.S. durable goods orders rose 1.3% in July matching the rise in June. The better-than- expected orders increase lifted stocks. Tropical storm Gustav, after dropping rain in Haiti appears to heading towards Gulf of Mexico. In earnings news, China Mobile earnings rose sharply as it adds more than 20 million subscribers. PetroChina earnings fell on losses in its refining business.

Stocks in London rose tracking gains in energy and metals market. Taylor Wimpey reported first half revenue rose to £1.9 billion from £1.4 billion a year ago and reported a loss of £1.5 billion compared to a profit of £18 million. In the period the group finished 8,494 homes compared to 4,857 homes. The home builder is facing challenging market conditions in UK, Spain and in the U.S but the company asserted that it is in compliance of all of its debt covenants.

Stocks in Japan fell as fourth home builder filed for bankruptcy protection in as many months. Tight lending standards and revised and tougher building code pushed several home builders into financial distress. Tokyo office rent fell in August from July, a first monthly decline in three decades. The news of the bankruptcy dragged stocks lower.

Stocks in Hong Kong and in Shanghai edged higher after several leading companies reported better than expected earnings. China Life, China Mobile, China COSCO and Jiangxi Copper reported better than expected earnings. Coal companies also gained on news that China will strengthen its enforcement of price caps on thermal coal. China Shenhua surged 5.7% and China Coal edged up 6.3%.

Indian stocks fell despite the expectations of lower inflation in the next fiscal year. Tighter monetary policy from the Reserve Bank of India is expected to bring inflation under control. Financial and realtors fell in the trading session. Airlines declined as oil price in the region rose. FirstSource Solution rose 9% after ICICI Bank and two other shareholders sold their combined stake in the outsourcing company.

North American Markets indexes

Dow Jones Industrial Average increased 89.64 or 0.79% to a close of 11,502.51, S&P 500 Index closed up 10.15 or 0.80% to 1,281.66, and Nasdaq Composite Index increased 20.49 or 0.87% to close at 2,382.46. In Toronto TSX Composite closed up 231.58 or 1.74% to 13,530.65.

Of the 30 stocks in Dow Jones Industrial Average 25 stocks gained, 4 declined and one was unchanged.

Pfizer led decliners in Dow Jones Industrial Average with a loss of 1.04% followed by losses in General Electric of 0.2%, in Hewlett Packard 0.13% and in McDonalds Corp of 0.08%.

Bank of America led gainers in Dow Jones Industrial Average with a rise of 2.2% followed by gains in American Express of 2.02%, in AT&T of 1.89%, in AIG of 1.83%, in Boeing Company of 1.67% and in General Motors of 1.59%.

Of the stocks in S&P 500 index, 410 increased, 88 declined and 2 were unchanged. Of the index stocks, 39 rose more than 3% and 2 fell more than 3%.

Freddie Mac led the gainers in the S&P 500 index with a rise of 19.65% followed by gains in Fannie Mae of 6.4%, in Tesoro Corp of 11.10%, in Lennar Corp of 10.51%, in KB Home of 10.01% and in MBIA Inc of 9.71%.

Sun Microsystems led decliners in the S&P 500 index with a loss of 7.14% followed by losses in big Lots Inc of 4.1%, in Forest Labs Inc of 2.9%, in Mattel Inc of 2.9%, in Bristol-Meyer Squibb of 2.1%, in Ford Motor Company of 2.07% and in Biogen IDEC Inc of 1.92%.

South American Markets Indexes

Peru led advancers in the region with a rise of 3.6% followed by increases in Brazil of 2.13%, in Argentina of 1.11%, in Colombia of 0.65% and in Mexico of 0.23% and in Venezuela of 0.02%.

Europe Markets Review

In London FTSE 100 Index closed higher 57.40 or 1.05% to 5,528.10, in Paris CAC 40 Index increased 4.53 or 0.10% to close at 4,373.08 and in Frankfurt DAX index lower 19.49 or 0.31% to close at 6,321.03. In Zurich trading SMI decreased 7.08 or 0.10% to close at 7,086.64.

Asian Markets Review