Market Gazer Hong Kong - Japan - Germany - UK - North America

market review : Europe & U.S. Ireland which on Tuesday had Moody’s
warnings that the credit rating may be
downgraded one level from the current Aa2
Reversing Monday’s losses, shares in Europe
rating.
and U.S. soared on the back of Bank of
Japan’s surprise interest rate cut and also a
Credit Suisse recommended
better-than-expected ISM index on non-
Deutsche Boerse, sending
manufacturing activity in the U.S. The Dow
the stock climbing to €48.44
Jones Industrial Average jumped 193.45
or up 2.7%. The rating was
points or 1.8% to 10,944.72, Nasdaq
kept at OUTPERFORM.
Composite climbed 55.31 points to end at
2,399.83, or 2.36% above the prior close. S&P
BMW continued to rise, ending the day at
500 also advanced 23.72 points or 2.09% to
€49.96 or up 3.6%. BMW was supported by
1,160.75. Both DAX index and FTSE 100 also
the news that its 5 series has one of the
gained 81.62 points and 79.79 points,
respectively. DAX finished the day at 6,215.83, highest ratings among other carmakers in U.S.
FTSE settled at 5,635.76.
American Express’s long-
term credit rating was
Bank of Japan’s surprise move
held steady by Fitch
has set the market expectation
Ratings. Long-term Issuer
tilted towards global follow-
ups of interest rates cut and Default Rating remained
at A+ with STABLE rating
towards more stimuli to support the
outlook in the near term despite the company
economy. Later, ISM for non-manufacturing
is being sued by the U.S. Department of
industry was reported at 53.2 in September.
Justice. Fitch however, warned that the
The reading beat the expectation at 52.0 and
resolution of the lawsuit will take a long time
up from 51.5 in August. European PMI also
to settle. American Express continued to fall
enjoyed the same story as German, UK, and
to $38.28 or 1.97%.
Eurozone were all seeing better-than-
expected PMI for service industry. Only
Yahoo said that it had signed agreement to
France and Italy failed to beat the market
buy Dapper, a company providing the
consensus.
technology platform of dynamic display ad
creation and optimization. Yahoo rose on the
back of the news, to end the day at $14.61, or
up 2.31%.

Home Depot has been lowered

to NEUTRAL by Goldman Sachs
based on valuation and soft
channel checks. Home Depot
was up 0.22% to end at $31.74.
Source: Institute for Supply Management

Perhaps the weak point of the current market Oracle acquired Passlogix, while on the same
rally lies at the European issue, specifically day Google asked Oracle to withdraw the

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 Market Gazer Hong Kong - Japan - Germany - UK - North America

company’s lawsuit on Android platform while

denying Oracle’s claims of patent
infringement. Elsewhere, Oracle was set at
BUY by Canaccord as organic growth is seen
boosted during the upgrade cycle as well as
valuation was viewed as reasonable. Target
has been set at $32. At the end of Tuesday,
Oracle stood at $27.30, up 1.49%.
Disclaimer: This report is provided for information purposes
only. It is not an offer to sell or to buy any securities. This
report has been prepared based on sources believed to be
reliable, but there is no assurance or guarantee regarding its
completeness & and accuracy. The author accepts no
responsibility or liability arising from any use of the report.

After being
downgraded by
Goldman, Microsoft
has been downgraded
as well by Janney
Montgomery from BUY
to NEUTRAL. Microsoft was seen as incapable
to utilize its desktop franchise into mobile.
Target has been set at $28. Microsoft staged a
rebound however, as it settled at $24.35 on
Tuesday, up 1.84%.

Motorola was set at HOLD by Jefferies, price

target was seen at $9.50. Shares were up by
2.13% at $8.64.

Jefferies also started Apple at

BUY with target price set at $365.
Apple soared 3.7% to finish the
day at $288.94.

economic data preview 

Today, all eyes will be focused on the ADP

Employment Report which is expected to
show an increase by 20,000 in private hiring
compared to last month’s decline by 10,000.
A better-than-expected reading will boost
shares as the next Friday’s nonfarm payrolls
will also be expected to show similar upbeat
result.

Other economic data releases are Euro-zone

GDP for 2Q and also German factory orders
for August.
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05 October 2010 Page 2