Bond Yields increased on 10-year U.S. bonds to 3.66% and 30-year bonds rose to 4.36%.

Commodities, Metals, and Currencies

Crude oil rose $2.62 to close at $89.61 per barrel for a front month contract, natural gas increased 21 cents to $7.82 per mBtu, and gasoline futures increased 3.60 cents to close at 228.70 cents per gallon.

Gold increased $28.10 in New York trading to close at $911.20 per ounce, silver closed up 48 cents to $16.445 per ounce, and copper for front month delivery increased 13 cents to 320.20 per pound and in London copper futures increased $144.00 to $6,904.00.

Dollar edged lower against euro to $1.47523 and gained against yen to 106.9001.


1:30PM New York, 7:30PM Frankfurt – Nokia trades higher after better than expected earnings report.

Nokia (NOK: chart) reported fourth quarter sales increased 34% to 15.72 billion euros and 5% rise in sales in mobile phone division to 7.4 billion euros. Mobile handset device unit sales increased 48%. Nokia estimated device market share increase to 40% on increasing operating margin.

Nokia reported fourth quarter earnings per share of 47 euro cents, a rise of 57% from 206 on 15.7 billion euro an increase of 34%.

Nokia operating margin in the quarter increased to 15.9%, up sequentially from 14.6% in Q3 2007, excluding special item and reported operating cash flow of 2.7 billion euros.

Nokia device volumes in the quarter increased to133.5 million units, up 20% sequentially and up 27% year on year on estimated industry device volumes of 336 million units, up 17% sequentially and up 16% year on year.

Nokia estimated device market share of 40%, up from 39% in Q3 2007 and up from 36% in Q4 2006. Nokia said that the average selling price increased to 83 euros, up from 82 euros in third quarter 2007.


1:00AM New York, 7:00PM – European markets rallied but Societe Generale reported a huge loss on fraudulent trading and subprime losses.

U.S. stocks in the morning trading edged higher as market extended its rally from yesterday in large and mid cap stocks.

In London FTSE 100 Index closed higher 266.50 or 4.75% to 5,875.80, in Paris CAC 40 Index increased 280.22 or 6.04% to close at 4,916.98 and in Frankfurt DAX index higher 381.86 or 5.93% to close at 6,821.07. In Zurich trading SMI increased 334.84 or 4.55% to close at 7,690.97

Societe Generale reported a huge loss and company blamed it on trading fraud while eBay offered a softer outlook on earnings.

Societe Generale reported subprime loan loss of $3 billion and blames one trader to engage in a fraud of 4.9 billion euros or $7.1 billion. Market index futures trader named Jerome Kerviel, 31 years of age, engaged in European index futures trading and covered his losses exploiting his intricate knowledge of bank’s risk control procedures.

SG also reported subprime loan write-down of 2.05 billion euro. The combined loan losses and fraud charges will reduce profit in 2007 to between 600 million and 800 million euros.