CEO Apple Inc Steve Jobs unveiled a line of iPods
Tuesday and made a truce with NBC Universal that means the TV network
will begin selling programs again on iTunes.
The Defense Department will push back its decision on a $35 billion
tanker contract to the next administration, delaying again the
competition between Boeing and Northrop Grumman to replace the Air Force's aerial refueling fleet.
The nation's fourth-largest investment bank Lehman Brothers
Holdings Inc suffered one of its worst quarterly losses in company
history - nearly $4 billion - and said it would spin-off part of its
commercial real estate assets, among other moves.
The stock market spikes to a session high, led by a rebound in the
financial sector (+1.2%). There does not appear to be a specific
catalyst for the move higher.
Nine of the ten sectors are posting a gain, with the energy (+3.5%) and
materials (+2.4%) posting the largest advances. The telecom sector
(-0.53%) stands alone in negative territory.
10.09 19:27
UBS: "Systemwide bail-outs affect mkts. the five largest financial crises in developed countries have cost more than 5% of GDP in bail-outs. This is a threshold worth watching."
10.09 18:55
ENERGY: US EIA comment sees continued high prices as other nations use more energy.
10.09 18:35
Dow +70.27 at 11301.00, Nasdaq +19.10 at 2228.91, S&P +7.31 at 1231.82
The dollar rose to an 11-month high against the euro
as crude oil fell and Lehman Brothers Holdings Inc.'s plan to sell
assets assured investors.
The yen fell against most of the major currencies on
bets the Wall Street firm's attempt to shore up capital will encourage
traders to buy higher-yielding assets funded by loans in Japan.
The euro dropped earlier as the European Commission
cut its growth forecast and Luxembourg Finance Minister Jean- Claude
Juncker said the currency is overvalued.
``Crude oil drifting back down again is favorable for the dollar,''
said Michael Woolfolk, senior currency strategist in New York at Bank
of New York Mellon, the world's largest custodial bank, with more than
$23 trillion in assets under administration. ``The market is taking
some comfort here.''
The economy will probably stagnate this quarter after shrinking in the
previous three months for the first time since the euro was introduced
in 1999, the European Commission said today. The Brussels-based
commission cut its forecast for economic growth to 1.3 percent this
year, from 1.7 percent earlier, and signaled the 2009 outlook may also
be lowered.
The euro is still ``overvalued'' and Europe faces ``a risk of a
technical recession,'' Juncker said today at a hearing before the
European Parliament's economic and monetary affairs committee in
Brussels.
``The underlying trend is still in favor of the dollar, even if we're
in for a period of consolidation,'' said Marc Chandler, global head of
currency strategy at Brown Brothers Harriman & Co. in New York. Crude oil for October fell 1.4 percent to $101.85 a barrel,
while gold futures for December delivery dropped 3.1 percent to $767.20
an ounce.
"Due to global shocks in financial and especially in energy markets,
the [German] economy will be subdued in the coming quarters.
Nevertheless, there is no reason to paint the medium-term prospects for
Germany too darkly or to conjure the ghost of a deep recession."
10.09 17:35
Dow +79.47 at 11312.26, Nasdaq +19.16 at 2228.97, S&P +7.13 at 1231.94
"For most American workers, pay raises have averaged about 3.8 percent
in 2008, virtually unchanged from the 3.7 percent salary increase
averaged in 2007, according to new survey
data from global consulting firm Mercer LLC. The rate is expected to remain the same in 2009."
Strong earnings forecasts from FedEx and Texas Instruments and a firmer dollar also gave Wall Street some early support.
Lehman has been hit hard this year on bad mortgage bets and other risky
investments. Shares fell 45% Tuesday after talks with the state-run
Korea Development Bank reportedly dried up, dampening hopes that KDB
would buy a stake in the bank.
On Wednesday, Lehman said it lost $3.9 billion in the third
quarter, or $5.92 per share, soundly missing forecasts. It was the
firm's biggest quarterly loss since the firm went public in 1994.
The company also announced a series of restructuring moves aimed to fix
its balance sheet. Lehman said it will spin off part of its commercial
real estate assets, sell a majority stake in its investment management
division and cut its dividend.
Package-delivery firm FedEx offered some encouraging news late
Tuesday, saying it expects higher fiscal first-quarter earnings of 1.23
per share versus current expectations for a profit of 95 cents, largely
because of lower commodity costs. FexEx is often seen as a proxy for
the economy. Shares gained 2% Wednesday morning. Texas Instruments shares rose after the chipmaker narrowed its
earnings and sales forecast to a range that meets or beats analysts'
forecasts. The announcement was part of its scheduled mid-quarter
update late Tuesday. Crude oil prices are now trading lower despite the large draw in
US DoE weekly crude oil inventory data. Traders note that the data was
distorted due to Hurricane Gustav and also the weak demand figures in
the data. WTI Nymex crude oil is at $102.60, down 0.66 cents.
COMEX gold for December delivery fell $7.40 to $784.60 an ounce.
Low print was $1.4037 on the latest dip, potentially damaging stops sub
$1.4040 but likely leaving some still intact. Bids $1.4030 and
$1.4000/15. Euro last at $1.4062 on the snap-back.
Eases under $1.4100 area for trade sub $1.4090 as euro-yen eases back,
euro-dollar perhaps eyeing morning low at $1.4074. Chatter of
semi-official demand in this are but one trader suggests recent such
chatter has not prevented euro sliding through any talked about levels.
10.09 15:36
USA EIA Crude Oil Stocks change (Sep 6) -5.9 m to 298.0 m
The major indices extend their opening gains. Eight of the ten
economic sectors are in positive territory, although financials (-0.6%)
are failing to participate.
Shares of FedEx (FDX 86.52, +1.77) are trading higher after the company
raised its fiscal first quarter earnings guidance to $1.23 per share
from its previous guidance of between $0.80 and $1.00. An unexpected
drop in fuel costs prompted the move. The DJ Transportation Index is
up 2.0%, despite crude prices climbing 1.1% to $104.42 per barrel.
The gains in crude prices come after OPEC agreed to stop producing oil
above their agreed quota of 27.3 million barrels per day, which will
mark an output cut of about 500,000 barrels per day at current levels,
according to the AP.
The energy sector rallying as a result, gaining 3.3%.
In deal news, ImClone (IMCL 68.13, +4.48) spiked 7% after the biotech
compony said the $60 per share buyout offer from Bristol Myers Squibb
(BMY 21.88, -0.15) is inadequate and Carl Icahn said a large
pharmaceutical company has submitted a proposal to acquire the company
at $70 per share.
Cable seen
meeting resistance from offers placed on the approach to $1.7630 (61.8%
$1.7677/1.7553). Rate currently trades back under $1.7600 after
touching a recovery high at $1.7625. Above $1.7630 to open a move back
toward $1.7650 ahead of $1.7680. Bids now seen placed to $1.7590,
stronger at $1.7580, a break below here to open a deeper move back
toward earlier lows at $1.7553, with bids noted toward $1.7550.
10.09 14:47
Dow +26.30 at 11261.38, Nasdaq +15.68 at 2225.07, S&P +6.62 at 1231.10
Current indications suggest a slightly higher start for the S&P 500, while the tech-heavy Nasdaq 100 is set to outperform:
S&P futures vs fair value: +4.10. Nasdaq futures vs fair value: +15.50.
The Nasdaq is getting an indirect lift from Texas Instruments (TXN),
after the semiconductor company gave a midquarter update that narrowed
its third quarters earnings expectations. Meanwhile, FedEx (FDX) is
getting a boost after the company said yesterday that it is raising its
first quarter earnings guidance and reaffirming its full year earnings
expectations due to a benefit from lower-than-expected fuel costs. On Lehman Brothers'
(LEH) conference call, the company said there was a significant
additional deterioration in the credit markets since the second
quarter. Lehman feels its actions will result in a strong and clean
balance sheet -- noting the plans for the commercial real estate asset
spin off, reduction in residential exposure, the majority sale of its
investment management business and its annual dividend cut to $0.05 per
share from $0.68 per share. LEH is up 7% in premarket trading.
Lehman Brothers (LEH, Fortune 500) said it suffered a net loss of $3.9
billion in the third quarter, or $5.92 per share. A consensus of
analysts interviewed by Thomson First Call had expected a decline of
$3.35 per share.
Lehman said it was taking steps to reduce its residential mortgage
exposure by 47% to $13.2 billion, reduce its commercial real estate
exposure by 18% to $32.6 billion and reduce its high yield acquisition
finance exposure by 38% to $7.1 billion.
Shares of Lehman, up as much as 28% in premarket marketing before the
announcement, were up 12% after it, although they were lower for a time.
Euro fell as European Commission cut its growth estimate for the euro area this
year and signaled it may also lower its 2009 forecast as the U.S. and
Asian economies cool.
The economy of the 15 nations that use the euro will probably expand
1.3 percent this year, the Brussels-based commission said today,
revising down its April forecast of 1.7 percent. ``Developments in the
global economy seem to suggest a significant downward revision for
2009,'' it said, referring to forecasts it plans to publish in November.
Europe's economy shrank in the three months through June and Luxembourg Finance Minister Jean-Claude Juncker today
said there is a ``risk of a technical recession.'' Manufacturing and
services activity contracted for a third month in August and confidence
dropped to the lowest in more than five years. Even with a cooling
economy, the European Central Bank has resisted cutting interest rates
as it tries to combat inflation.
``Economic activity has slowed down considerably'' in recent months,
Juncker, who leads the group of euro-area finance ministers, said in
Brussels today. The EU report said growth ``is expected to stall'' in
the current quarter. A technical recession is defined as two
consecutive quarters of economic contraction. ``The risks to the growth
outlook stay tilted to the downside. In
particular, developments in commodity and financial markets will
continue to be the key factors shaping the growth outlook,'' the
commission said. ``The risks to the inflation outlook appear somewhat
more balanced, albeit they are still tilted to the upside.''
The yen gained as Lehman Brothers Holdings Inc.
issued weak earnings as investors redused
holdings of higher- yielding assets funded in the Japanese currency.
EUR/USD having posted high at $1.4180 fell back to $1.4075. Bids
$1.4060/50. Offers remain at $1.4180/90.
GBP/USD failed to break above $1.7680, before eased down to $1.7550. Offers $1.7680-$1.7600.
USD/JPY USD/JPY has lost roughly 50-points in the wake of the
Lehman earnings, though for now the rate continues to trade within the
Asian range. Small bids noted at Y107.00/90 are now under pressure.
Stronger support is around yesterday’s low on Y106.60, further – at
trend support line from Mar 17 at Y105.70. Break under will open the
way to Y104.70
(Jul 17 low). Offers Y107.65/70, Y108.00/15.
At 14:35 GMT
Oil stocks inventories will be released.
USD/JPY has lost roughly 50-points in the wake of the
Lehman earnings, though for now the rate continues to trade within the
Asian range. Small bids noted at Y107.00/90 are now under pressure.
Stronger support is around yesterday’s low on Y106.60, further – at
trend support line from Mar 17 at Y105.70. Break under will open the
way to Y104.70
(Jul 17 low).
10.09 12:38
Lehman Brothers report a $5.92 loss per share, far worse than expected.
The European Commission cut its growth estimate for the euro area this
year and signaled it may also lower its 2009 forecast as the U.S. and
Asian economies cool.
The economy of the 15 nations that use the euro will probably expand
1.3 percent this year, the Brussels-based commission said today,
revising down its April forecast of 1.7 percent. ``Developments in the
global economy seem to suggest a significant downward revision for
2009,'' it said, referring to forecasts it plans to publish in November.
Europe's economy shrank in the three months through June and Luxembourg Finance Minister Jean-Claude Juncker today
said there is a ``risk of a technical recession.'' Manufacturing and
services activity contracted for a third month in August and confidence
dropped to the lowest in more than five years. Even with a cooling
economy, the European Central Bank has resisted cutting interest rates
as it tries to combat inflation.
``Economic activity has slowed down considerably'' in recent months,
Juncker, who leads the group of euro-area finance ministers, said in
Brussels today. The EU report said growth ``is expected to stall'' in
the current quarter. A technical recession is defined as two
consecutive quarters of economic contraction. ``The risks to the growth
outlook stay tilted to the downside. In
particular, developments in commodity and financial markets will
continue to be the key factors shaping the growth outlook,'' the
commission said. ``The risks to the inflation outlook appear somewhat
more balanced, albeit they are still tilted to the upside.''
The yen weakened on speculation Lehman Brothers Holdings Inc.
will survive a credit-market slump, prompting investors to increase
holdings of higher- yielding assets funded in the Japanese currency. The yen fell against the euro for the first time in three days
and slid versus the dollar as Lehman rose in German share trading
before the bank reports results today. The Australian dollar fell to
the lowest in more than a year as declines in gold weighed on the
outlook for the commodities exporter.
Lehman rose 32 percent in German share trading today. It dropped 45
percent yesterday to the lowest level in a decade as a person familiar
with the matter said talks with the Korean firm had broken down. The yen also declined against the dollar on speculation Japanese
importers sold it for foreign currencies to pay their bills. Many
Japanese companies close their accounts on the fifth, the 10th, the
15th, the 20th, the 25th and the last business day of every month.
These days are known as ``Gotobi'' in Japanese.
``There were orders from Japanese importers that weighed on the yen,''
said Katsunori Kitakura, chief treasury dealer in Tokyo at Chuo Mitsui
Trust & Banking Co., Japan's seventh- largest publicly listed
lender. ``The market had been moving in one direction for some time,
and it seems some people were waiting to sell into the yen's rally.''
The yen may fall to 107.50 versus the dollar today, he said.
Extends lows to $1.4079, with rate seen meeting willing buyers on the
dip. Rate currently trades around $1.4090. Market seen adjusting
positions ahead of the Lehman results, brought forward to 1130GMT
release today. Euro-dollar bids seen placed between $1.4060/50, with
stops noted on a break of $1.4040. If stops triggered seen opening a
deeper move toward $1.4030 ahead of stronger area between $1.4015/00.
The $1.4000 level said to hold option barrier interest. Offers seen
placed toward $1.4120.
Resistance 3: Y109.70
Resistance 2: Y109.00
Resistance 1: Y108.00
Current price: Y107.30
Support 1: Y106.60 Support 2: Y105.70
Support 3: Y104.70
Comments: USD/JPY rebounds on speculation Japanese importers sold the currency
to settle their accounts. Resistance comes at Y107.50, stronger – on 61.8% Fibo
(last three-days decline) at Y108.00/10. Above the recovery may extend to Monday’s
high on Y109.00/10. Support is around yesterday’s low on Y106.60, further – at
trend support line from Mar 17 at Y105.70. Break under will open the way to Y104.70
(Jul 17 low).
Resistance 3: Chf1.1520 Resistance 2: Chf1.1420
Resistance 1: Chf1.1360
Current price: Chf1.1299
Support 1: Chf1.1200 Support 2: Chf1.1120
Support 3: Chf1.1060
Comments: USD/CHF set stable within the upward channel from Jul 16, limited today
by Chf1.1120/Chf1.1520 (key support/resistance respectively). Support is around
yesterday’s low at Chf1.1200/10. Below losses may widen to channel line at Chf1.1120,
then – to Chf1.1060. Resistance comes at Monday’s/Tuesday’s high on Chf1.1360/70,
then – near Chf1.1420 and channel line on Chf1.1520.
Resistance 3: $1.7980 Resistance 2: $1.7850
Resistance 1: $1.7700
Current price: $1.7605
Support 1: $1.7560
Support 2: $1.7460 Support 3: $1.7250
Comments: GBP/USD continues to hold within the downward channel from Jul 31, limited
today by $1.7250/$1.7850 (key support/resistance respectively). Rate is under pressure
ahead of UK Trade balance with analysts expect deficit at stg7.5 bln in July.
Support is around session low on $1.7560, then – at Monday’s low on $1.7460/70.
Key support at channel line on $1.7250. Resistance comes on $1.7700/10, stronger
– at channel line on $1.7850. Further rebound may extend Monday’s high on $1.7980.
-- A spiral would lead to long-term persistent inflation
-- An inflationary spiral would lead to unemployment
-- We have to do what is needed to avoid inflation spiral
-- We have had simultaneously price stability and job creation.
Resistance 3:$1.4450
Resistance 2: $1.4280 Resistance 1: $1.4240
Current price: $1.4148
Support 1: $1.4080
Support 2: $1.4040 Support 3: $1.3880
Comments: EUR/USD rangebounds Wednesday with techs hasn’t changed much. Support
is around session low on $1.4080, then – at Tuesday’s low on $1.4040. Stronger
support comes at channel line from Jul 31 on $1.3880 with a break under will
open the way to trend support line from Jan 2002 at $1.3840. Minor resistance comes
at $1.4230/40 (50% of the decline from Monday). Further rebound may reach
$1.4280. Key resistance comes at Monday’s highs and channel line on $1.4430/50.
The yen fell
on speculation Lehman Brothers Holdings Inc. will survive a credit-market
slump, prompting investors to increase holdings of higher-yielding assets
funded in the Japanese currency.
The yen declined against the euro for the first time in three days and weakened against
the dollar after Yonhap News said the Korea Development Bank will seek to buy a
stake in Lehman.
Korea Development Bank is in talks
to buy more than 25% of Lehman Brothers for about $6 billion, Yonhap reported
today, citing an executive at Korea Development that it didn't name. The bank's
spokesman Sung Joo Yung declined to comment by phone in Seoul.
Lehman's shares dropped to the lowest level in a decade yesterday as a person familiar with the
firm said talks with the Korean firm had broken down.
The Australian dollar fell to the
lowest in more than a year as declines in gold weighed on the outlook for the
commodities exporter.
EUR/USD printed
lows below $1.4100 before rising to $1.4180.
GBP/USD slowly
rebounded from $1.7570 to $1.7670.
USD/JPY holds
within the Y106.90/Y107.60 range.
At 14:35 GMT
Oil stocks inventories will be released.
Japan's
benchmark stock indices ended the day narrowly mixed, sharply off their early
session lows. The benchmark Nikkei 225 was down 54.02 points, or 0.44%, at
12346.63. The broader-based TOPIX was just about in positive territory, with
the index up 0.79 points at 1192.38.
Japan's stocks fell
after slumping commodities demand dented the earnings prospects for shipping
and resource companies and as banks retreated from yesterday's surge.
Mitsui O.S.K. Lines Ltd., the nation's largest iron-ore ship operator, lost 6.9%
after falling Chinese demand dragged commodity cargo rates to the lowest in a
year. Mitsui & Co., which has stakes in Gulf of Mexico and Australia oil
fields, fell 8.1% as crude traded near a five-month low. Sumitomo Trust &
Banking Co., which jumped by its daily limit yesterday, lost 4.8% as the U.S.
government's takeover of the nation's biggest mortgage lenders failed to quell
financial market concern.
Mitsui O.S.K. dropped 6.9%, while Kawasaki Kisen Kaisha Ltd., Japan's
third-biggest shipping line, lost 5.9%. Market leader Nippon Yusen K.K.
declined 4.5%.
European stocks fell, led by mining
and energy companies, as investors speculated the economic slowdown will hurt
demand for metals and oil dropped to a five- month low.
Anglo American Plc sank 8.2% and Rio Tinto Group dropped 6.7% as copper and
gold retreated. Total SA, Europe's
third-largest oil producer, slipped 2.4%, and Sevan Marine ASA, a Norwegian
builder of floating units for offshore use, slumped 16%.
Anglo American, the world's fourth-largest diversified mining company, slid 6%.
Rio Tinto, the world's third-biggest mining company, lost 5%. Xstrata Plc, the
fourth-largest copper producer, dropped 8%.
Copper fell to the lowest price in more than seven months on concern that
slowing global growth may curb demand. Gold sank for a seventh straight
session, touching a three-week low.
BHP Billiton Ltd. fell 5.4%. Total slid 2.4%. BP Plc, Europe's
second-biggest oil producer, lost 1.9%, the most in three weeks. Sevan Marine
slumped 16%.
Stocks fell Tuesday, in a volatile start to the
session, as investors mulled lower oil prices in the aftermath of Monday's big
rally sparked by the government takeover of Fannie Mae and Freddie Mac.
Federal officials warned Tuesday that the
budget deficit will be substantially higher this year, rising $246 billion to
$407 billion, partly as a result of the Fannie and Freddie bailout.
On Tuesday, Fannie and Freddie shares gained,
while the broader financial sector was mixed.
Company news: Dell founder Michael Dell bought
$100 million of Dell shares last week, it was announced after the close of
trade Monday.
McDonald's said August sales at its stores open
a year or more rose 8.5% in the month, topping forecasts.
The yen rose against all of the other major
currencies as a drop in global stocks raised speculation that investors will
reduce holdings of higher- yielding assets and pay back loans in Japan.
The budget
deficit will grow next year to a record $438 billion, the Congressional Budget
Office said, making it harder for President George W. Bush's successor to
either cut taxes or increase spending. This year's shortfall will total $407
billion, the agency said today in a biannual report. The Bush administration
estimated in July that next year's deficit will total $482 billion.
The National Association of Realtors said that
its index of pending home resales in the U.S. fell 3.2% in July in its
fourth decline this year after a revised 5.8% gain in previous month.
Royal Bank of Scotland Group Plc cut its
forecasts for the euro versus the dollar. The single currency will end the year
at $1.40 before weakening to $1.35 by the end of the first quarter of 2009, it
said. The bank's previous predictions were $1.50 and $1.45, respectively.
EUR/USD fell
to $1.4040 before it rebounded to $1.4200. But rate failed to break above the
figure and retreated to $1.4050. Later euro refreshed session highs around $1.4230
and sharply retreated to $1.4100.
GBP/USD fell
from $1.7630 to $1.7500 before it rebounded to $1.7700. But rate failed to break
above the figure and back off to $1.7560.
USD/JPY fell
from Y108.20 to Y106.60.
In Europe attention will be on UK Trade balance with analysts expect deficit at
stg7.5 bln in July.
Resistance 3: Y109.70 Resistance 2: Y109.00 Resistance 1: Y108.00 Current price: Y107.30 Support 1: Y106.60 Support 2: Y105.70 Support 3: Y104.70 Comments: USD/JPY rebounds on speculation Japanese importers sold the currency to settle their accounts. Resistance comes at Y107.50, stronger – on 61.8% Fibo (last three-days decline) at Y108.00/10. Above the recovery may extend to Monday’s high on Y109.00/10. Support is around yesterday’s low on Y106.60, further – at trend support line from Mar 17 at Y105.70. Break under will open the way to Y104.70 (Jul 17 low).
Resistance 3: Chf1.1520 Resistance 2: Chf1.1420 Resistance 1: Chf1.1360 Current price: Chf1.1268 Support 1: Chf1.1200 Support 2: Chf1.1120 Support 3: Chf1.1060 Comments: USD/CHF set stable within the upward channel from Jul 16, limited today by Chf1.1120/Chf1.1520 (key support/resistance respectively). Support is around yesterday’s low at Chf1.1200/10. Below losses may widen to channel line at Chf1.1120, then – to Chf1.1060. Resistance comes at Monday’s/Tuesday’s high on Chf1.1360/70, then – near Chf1.1420 and channel line on Chf1.1520.
Resistance 3: $1.7980 Resistance 2: $1.7850 Resistance 1: $1.7700 Current price: $1.7632 Support 1: $1.7560 Support 2: $1.7460 Support 3: $1.7250 Comments: GBP/USD continues to hold within the downward channel from Jul 31, limited today by $1.7250/$1.7850 (key support/resistance respectively). Rate is under pressure ahead of UK Trade balance with analysts expect deficit at stg7.5 bln in July. Support is around session low on $1.7560, then – at Monday’s low on $1.7460/70. Key support at channel line on $1.7250. Resistance comes on $1.7700/10, stronger – at channel line on $1.7850. Further rebound may extend Monday’s high on $1.7980.
Resistance 3:$1.4450 Resistance 2: $1.4280 Resistance 1: $1.4240 Current price: $1.4131 Support 1: $1.4080 Support 2: $1.4040 Support 3: $1.3880 Comments: EUR/USD rangebounds Wednesday with techs hasn’t changed much. Support is around session low on $1.4080, then – at Tuesday’s low on $1.4040. Stronger support comes at channel line from Jul 31 on $1.3880 with a break under will open the way to trend support line from Jan 2002 at $1.3840. Minor resistance comes at $1.4230/40 (50% of the decline from Monday). Further rebound may reach $1.4280. Key resistance comes at Monday’s highs and channel line on $1.4430/50.
Wires say Japanese firms will not be
named as investors in Lehman Bros when the US investment house announces Q2
results and strategic initiatives at 1130GMT. The report cites sources at Japan's FSA.
The story hits the wire about the same time wires report Korean KDB is still in
the hunt for Lehman's. Nikkei spikes higher on reports and almost erase session
losses.
10.09 06:47
Major European bourses are initially seen trading lower Weds, in the wake of the extended late losses in the US: the FTSE down 51, the DAX down 48, the CAC down 51 and the Eurostoxx 50 down 40
