11:00AM New York – U.S. stocks in the morning trading edged higher as market extended its rally from yesterday in large and mid cap stocks.

U.S. stocks in the morning opened higher on strong earnings report from AT&T, Nokia, Lockheed Martin. Talks of bond insurer bailout supported the positive mood in the early trading.

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.

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.

Lockheed Martin Corporation (LMT: chart) today reported fourth quarter 2007 net earnings of $799 million or $1.89 per diluted share, compared to $729 million or $1.68 per diluted share in 2006.

Net sales were $10.8 billion in both the fourth quarter of 2007 and 2006.

Cash from operations for the fourth quarter of 2007 was $420 million, compared to $333 million in 2006.

Net earnings for the year ended December 31, 2007 were $3.0 billion or $7.10 per share, compared to $2.5 billion or $5.80 per share in 2006.

Net sales for the year ended December 31, 2007 were $41.9 billion, a 6% increase over the $39.6 billion in the comparable 2006 period.

Cash from operations for the year ended December 31, 2007 was $4.2 billion, compared to $3.8 billion in 2006. Return on Invested Capital (ROIC) was 21.4% for the year ended December 31, 2007 compared to 19.2% in 2006.

10:00AM New York, 7:30PM Mumbai – Sensex fell on the weakness in mid and large cap stocks.

Stock markets declined on the weakness in large and mid cap stocks. Reliance Energy and Reliance Industries fell.

The BSE 30-share Sensex declined 2.1% or 372.33 to 17,221.74. The broader CNX S&P Nifty slipped 3.3% or 169.95 to 5,033.45.

As 2,328 shares on the BSE declined, 400 stocks advanced and 16 shares remained unchanged. Of the Sensex index, 23 stocks fell and 7 climbed.

Trading turnover on the BSE was 6,364 crore rupees as compared to 7,133 crore rupees on Wednesday and on the National Stock Exchange stood at 17,209 crore rupees.

Reliance group of stocks dominated trading. Reliance Natural Resources was the most active share on the BSE with turnover of 408 crore rupees followed by Reliance Industries, Reliance Petroleum, Reliance Energy and Reliance Capital.