While the smaller than expected drop in jobs may offset some of the fears about the impact of Hurricane Katrina, it may add to concerns about higher interest rates. If the economy is able to digest the storms with relative ease, the Fed will likely not hesitate to continue raising rates to battle inflation.

INTERNATIONAL MARKET NEWS

Asian-Pacific benchmarks closed broadly lower on weak U.S. equity markets, speculations of interest-rate hikes and expectations of U.S. September nonfarm payroll data. The Nikkei was the leading decliner, falling down by 1% on high tech issues sell-off, followed by South Korea’s Kospi, down 0.1% on exporter-related stocks. Hong Kong’s Hang Seng ended up 0.1%. The dollar bought 113.34 yen.

European markets traded lower at mid-day after two straight sessions of heavy losses, partly offset by gains in oil, retail and household stocks. Weak U.S. markets, speculations on interest-rate increases, and expectations of nonfarm payroll data release weighed on the market sentiment. The German DAX 30 shed 0.5%, the French CAC 40 lost 0.3%, and London’s FTSE 100 fell 0.1%.

ENERGY, METALS, CURRENCIES

Oil prices started rising after a five-day decline on supply concerns during the winter season. Light sweet crude for November delivery rose 58 cents to trade at $61.94 a barrel on the Nymex. Heating oil added 2 cents to $1.9729 a gallon. Gasoline futures edged up 1 cent to $1.8575 a gallon. Natural gas traded flat at $13.375 per 1,000 cubic feet. London Brent gained 51 cents to $58.88.

Gold prices further climbed in European trading. In London the precious metal traded at $472 per troy ounce, up from $471.40. In Hong Kong gold rose $6.40 to close at $472.55. Silver traded at $7.55, up from $7.51.

In European trading the U.S. dollar traded up against the euro and the pound, but down against the yen. The euro was quoted at $1.2147, down from $1.2154.The dollar changed hands at 113.28 yen, down from 113.36. The British pound was trading at $1.7700, down from $1.7719.

EARNINGS NEWS

GenCorp Inc. (OXM: chart), automotive, aerospace fine chemicals and real estate company, posted a Q3 net loss of 53 cents a share, down from the loss of $1.05 a share in the year-ago period. The company's Q3 loss from continuing operations went down to 8 cents a share vs. 33 cents last year. Sales from continuing operations soared to $134 million, up vs. $116 million in Q3 year-ago.

GenCorp Inc. (GY: chart), automotive, aerospace fine chemicals and real estate company, posted a Q3 net loss of 53 cents a share, down from the loss of $1.05 a share in the year-ago period. The company's Q3 loss from continuing operations went down to 8 cents a share vs. 33 cents last year. Sales from continuing operations soared to $134 million, up vs. $116 million in Q3 year-ago.

Lone Star Steakhouse & Saloon (STAR: chart), restaurant chain, posted Q3 net earnings of 2 cents a share, vs. 17 cents a share in the same period last year on a flat revenue compared with the year-ago period.

Accenture Ltd (ACN: chart), provider of management consulting and technology, posted Q4 net earnings of 38 cents a share, vs. 30 cents a share in the same period last year on revenue growth, beating analysts’ expectations of 36 cents a share. The company also reported revenue including reimbursements of $4.31 billion vs. $3.81 billion. Accenture announced that it expects first-quarter net earnings of between 32 cents and 34 cents a share. The company also forecast fiscal 2006 earnings of $1.45 to $1.50 on revenue growth of 9% to 12%.

Burlington Coat Factory Warehouse Corp. (BCF: chart), retailer, reported a Q1 net loss of 36 cents a share, vs. 42 cents a share in the same period last year on revenue growth, missing analyst estimate of 30 cents a share.

Net2Phone (NTOP: chart), provider of Internet protocol communications services, posted a Q4 net loss of 13 cents a share, down vs. a net loss of 8 cents a share in the same period last year on slight revenue decline, missing analysts forecast by a penny.