Economic Decline Is Reflected In The Corporate Reports - 24.10.2012
Flimsy corporate reports from global companies coupled with negative data on the Spanish economy lead to a sharp drop in risk assets on the Tuesday session. German DAX lost more than 2%, Dow Jones was marked with another 200 points downfall and the “fear index” - VIX rapidly jumped up by 13% to 18,8 points. Even presentation of the Apple new products could not stop sales: shares of the company got cheaper by 3,2% according to the session results.
A little hope for market situation stabilizing is given by Chinese manufacturing PMI from HSBC bank: the index rose to a 3-month high at 49,1. Besides investors graciously accepted successful reports from a bunch of US Internet companies, Facebook firstly. Shares of the social network on extended session rose by 12%. It is worthy to pay attention to Aussie in the Forex market. It receiver support from the sharp inflation jump up: annual CPI rose by 2,0% in the third quarter, vs. forecasted 1,6%. Important resistance on the AUD/USD chart is located at 1.0335, support at 1.0280