Consumer staples stocks (-0.2%) are still failing to participate in the session's rally. The sector, however, still boasts the best year-to-date performance, down just 2.2%. Meanwhile, the S&P 500 is down 14.3% this year.
Primary laggards included Colgate-Palmolive (CL 75.02, -1.86) and Procter & Gamble (PG 70.33, -0.98). Their names have garnered attention amid the turmoil in the stock market as investors looked for companies generating stable and dependable cash flow. They are now being replaced by riskier holdings as participants find encouragement by the developments of late.

The dollar rose the most against the yen in five months as U.S. officials began work on a plan to revive global credit markets.
The yen tumbled against the Australian and New Zealand dollars on bets investors will buy higher-yielding assets funded in Japan after the U.S. Treasury and the Federal Reserve proposed cleaning up the balance sheets of financial firms
``There's a good chance that these extraordinary measures the authorities are taking will gradually bring confidence back,'' said Jens Nordvig, a senior currency strategist in New York at Goldman Sachs Group Inc. ``That makes it possible for risky currencies, such as the Australian dollar and some emerging-market currencies, to recover after a large setback.''
U.S. regulators met with lawmakers late yesterday to discuss a plan to quarantine the devalued mortgage-linked assets at the root of the worst credit crisis since the Great Depression. Congressional leaders said they intend to pass legislation within days.
The dollar extended its gain versus the yen today after the Treasury announced plans to use as much as $50 billion from the country's Exchange Stabilization Fund to insure money-market mutual fund holdings against a collapse in financial markets.
The yield on the two-year U.S. Treasury note rose 41 basis points, or 0.41 percentage point, to 2.10 percent, the biggest increase since February 1985. The Standard & Poor's 500 Index climbed 3.2 percent, while Europe's Dow Jones Stoxx 600 Index surged 8.1 percent, the most since it was inaugurated in 1987. The MSCI Asia Pacific Index added 4.6 percent.
Financial firms have raised their outlook for the dollar. The median forecast of 43 analysts surveyed by Bloomberg News is for the U.S. currency to end the year at $1.43 against the euro, compared with an expectation of $1.50 a month ago.
The dollar has dropped 0.6 percent against the yen this week and 1.2 percent versus the euro. The yen has decreased 0.6 percent against Europe's currency.
Eisuke Sakakibara, 67, a professor at Tokyo's Waseda University who was dubbed ``Mr. Yen'' because of his ability to influence the foreign-exchange market during his 1997-1999 tenure at the Finance Ministry, said in an interview on Bloomberg Television that there's ``no quick fix'' for credit- market turmoil. He said the yen may strengthen to 100 per dollar this year.

Economist Joe Carson at Alliance-Bernstein says "more extraordinary policy actions are likely, including another cut in official rates. But an end to the panic will only come when investors begin to realize that the economic reality is not as bad as what is priced into financial markets."

Lurches back under Y107.00 area for trade to Y106.75 as euro-yen wilts under Y154.00, perhaps curbing some of that earlier "risk-appetite." Bids at Y107.00/15 filled, a few more at Y106.70.

The Dow Jones industrial average (INDU) added 404 points, or 3.7% at the open. The Standard & Poor's 500 (SPX) index jumped over 4%. The Nasdaq composite (COMP) gained nearly 5%.
Small cap stocks jumped too, with the Russell 2000 (RUT) up 4%.
Oil prices rallied in the early going, with U.S. light crude oil for October delivery up $5.22 to $103.10 a barrel.
Oil prices had been plummeting since peaking at $147.27 a barrel on July 11, as investors bet that sluggish global growth will diminish oil demand. But over the last few sessions, prices have been bouncing back.
COMEX gold for December delivery fell $30.50 per ounce to $866.50 after jumping over $116 per ounce over the last two sessions..
Treasury prices tumbled as investors pulled money out of the safe-haven investment and poured it into stocks. The slump boosted the yield on the benchmark 10-year note to 3.78% from 3.54% late Thursday. Treasury prices and yields move in opposite directions.

Stocks continue to trade with impressive gains, but are off their morning highs. Posting the largest retreat is the Nasdaq, which pared a 5.4% advance to its current gain of 2.0%.
One of the Nasdaq's leading movers is Oracle (ORCL 20.56, +1.81). Oracle's stock was upgraded after the company posted better-than-expected earnings per share results. Laggards in the index include mega-cap names like Microsoft (MSFT 24.98, -0.28).

"Immediately,benefits of more liquidity to the conforming mortgage sector should be felt. Redemption pressures among the money market mutual funds should begin abating."

Treasury Secretary Paulson announces in a speech that further decisive action is needed to restore confidence in the financial system. A lack of confidence can undermine liquidity and choke economic growth. Efforts to restore confidence and liquidity need to be big enough to make a difference, which Paulson quantified to be in the hundreds of billions of dollars.
Details of plans will be hashed out over the weekend, according to Paulson. The plan is intended to protect tax payers as much as possible.
Part of the plan will hinge on Fannie Mae (FNM 0.65, +0.16) and Freddie Mac (FRE 0.50, +0.17). The two will increase purchases of mortgage-backed securities, extending the plan announced earlier this month.
President Bush is scheduled to speak in regard to the economy shortly.

All ten of the economic sectors are showing gains as the mood among investors improves and prompts buying.
September options are scheduled to expire this session, which can compound the session's trading volume. Volume on the NYSE in the prior session almost hit 2.5 billion shares.
Participants continue to await comments from the Treasury Department, which is holding a conference that is set to begin shortly.

Stock futures continue to indicate the major indices will open with impressive gains: S&P futures vs fair value: +58.60. Nasdaq futures vs fair value: +65.30.
Just announced by CNBC, the Federal Reserve is announcing plans to help stabilize money market funds with loans to banks. The Fed will provide a liquidity facility to help provide backstops by purchasing notes from primary dealers. Cintas (CTAS) announced it earned $0.51 per share for its first fiscal quarter. Analysts were looking for $0.52 per share, on average. The shares were downgraded to Sell from Hold at Citigroup. Oracle (ORCL) surpassed analysts' consensus estimate by $0.02, bringing in $0.29 per share. The shares were upgraded to Buy from Neutral at Piper Jaffray. Palm (PALM) posted a first quarter adjusted loss of $0.12 per share, which is actually less severe than the $0.18 per share loss that was widely anticipated. Texas Instruments (TXN) announced it is giving its quarterly dividend a 10% increase to $0.11 per share.
The renewed interest in stocks has pushed Treasuries substantially lower. The 10-year Note is currently indicated to be down by 65 ticks, pushing its yield up to 3.79%. That marks its highest yield in weeks. In light of the recent Fed and Treasury efforts, the overnight LIBOR rate has fallen to 3.25% from 3.84% Thursday.

Breaking above $1.4245, which if cleared seen as last resistance ahead of a retest on earlier recovery highs at $1.4260, one trader suggests. Offers noted between $1.4260/65, with stops above, which if triggered then opens a move on toward $1.4280/85 ahead of $1.4300/05. Main bids remain in place back toward $1.4200.

The dollar rose the most in more than five months against the yen as central banks pumped cash into global credit markets and U.S. officials said they were developing a plan to stop financial institutions from failing.
The currency also gained for the first time in three days versus the euro as Treasury Secretary Henry Paulson and Federal Reserve Chairman Ben S. Bernanke proposed moving troubled assets from the balance sheets of American financial companies into a new institution. The yen fell for a third day against the Australian and New Zealand dollars as investors bought higher- yielding assets funded in the Japanese currency.
`This will put an end to the banking crisis,'' said David Woo, London-based head of foreign-exchange strategy at Barclays Capital, the third-biggest currency trader. ``But people underestimate how long it will take to get this thing through Congress.''
Investors are gaining confidence after the Fed agreed with global central banks to almost quadruple the amount of dollars they can provide to money markets to $247 billion. The cost of borrowing in dollars overnight surged the most in its history on Sept. 16 after Lehman Brothers Holdings Inc. filed the biggest bankruptcy in history and the U.S. government took control of American International Group Inc.
U.S. regulators met with lawmakers late yesterday to discuss a plan to clean up the devalued mortgage-linked assets at the root of the worst credit crisis since the Great Depression. Congressional leaders said they intend to pass legislation within days.
``I fear this issue is not going to be resolved within the timetable that the market is looking for, but at least it is now even more actively being discussed,'' London-based David Simmonds, head of currency research at Royal Bank of Scotland Group Plc, wrote in a note to clients today.
Banks have raised their forecasts for the dollar. The median estimate in a Bloomberg News survey of 41 analysts is for the U.S. currency to end the year at $1.44 against the euro. It was $1.50 per euro a month ago.
The dollar still headed for a weekly decline versus the Japanese currency.
``I wouldn't have too much confidence in U.S. assets yet, because we don't know how the situation is going to play out,'' said Naomi Fink, a Tokyo-based strategist at Bank of Tokyo- Mitsubishi UFJ Ltd.
The yen may strengthen to 100 this year as traders cut holdings of higher-yielding overseas assets funded with Japan's currency, known as carry trades, Eisuke Sakakibara, a former currency-policy official in Japan, said in a Bloomberg television interview. There is ``no quick fix'' for the credit- market turmoil, he said.
The yen dropped against higher-yielding currencies today as appetite for carry trades rebounded. It fell 3.4 percent to 86.90 versus Australia's dollar and 1.6 percent to 72.12 against New Zealand's dollar.
``The last 12 to 18 hours have been an unambiguous good for the financial world and the global economy,'' said Peter Pontikis, a treasury strategist at Suncorp-Metway Ltd. in Brisbane, Australia. ``The first response is the yen isn't an attractive asset now.''

The dollar rose the most in more than five months against the yen as central banks pumped cash into global credit markets and U.S. officials said they were developing a plan to stop financial institutions from failing.
The currency also gained for the first time in three days versus the euro as Treasury Secretary Henry Paulson and Federal Reserve Chairman Ben S. Bernanke proposed moving troubled assets from the balance sheets of American financial companies into a new institution. The yen fell for a third day against the Australian and New Zealand dollars as investors bought higher- yielding assets funded in the Japanese currency.
`This will put an end to the banking crisis,'' said David Woo, London-based head of foreign-exchange strategy at Barclays Capital, the third-biggest currency trader. ``But people underestimate how long it will take to get this thing through Congress.''
Investors are gaining confidence after the Fed agreed with global central banks to almost quadruple the amount of dollars they can provide to money markets to $247 billion. The cost of borrowing in dollars overnight surged the most in its history on Sept. 16 after Lehman Brothers Holdings Inc. filed the biggest bankruptcy in history and the U.S. government took control of American International Group Inc.
U.S. regulators met with lawmakers late yesterday to discuss a plan to clean up the devalued mortgage-linked assets at the root of the worst credit crisis since the Great Depression. Congressional leaders said they intend to pass legislation within days.
``I fear this issue is not going to be resolved within the timetable that the market is looking for, but at least it is now even more actively being discussed,'' London-based David Simmonds, head of currency research at Royal Bank of Scotland Group Plc, wrote in a note to clients today.
Banks have raised their forecasts for the dollar. The median estimate in a Bloomberg News survey of 41 analysts is for the U.S. currency to end the year at $1.44 against the euro. It was $1.50 per euro a month ago.
The dollar still headed for a weekly decline versus the Japanese currency.
``I wouldn't have too much confidence in U.S. assets yet, because we don't know how the situation is going to play out,'' said Naomi Fink, a Tokyo-based strategist at Bank of Tokyo- Mitsubishi UFJ Ltd.
The yen may strengthen to 100 this year as traders cut holdings of higher-yielding overseas assets funded with Japan's currency, known as carry trades, Eisuke Sakakibara, a former currency-policy official in Japan, said in a Bloomberg television interview. There is ``no quick fix'' for the credit- market turmoil, he said.
The yen dropped against higher-yielding currencies today as appetite for carry trades rebounded. It fell 3.4 percent to 86.90 versus Australia's dollar and 1.6 percent to 72.12 against New Zealand's dollar.
``The last 12 to 18 hours have been an unambiguous good for the financial world and the global economy,'' said Peter Pontikis, a treasury strategist at Suncorp-Metway Ltd. in Brisbane, Australia. ``The first response is the yen isn't an attractive asset now.''

Resistance 3: Y110.60
Resistance 2: Y109.00
Resistance 1: Y107.80
Current price: Y107,41
Support 1: Y105.70
Support 2: Y104.00
Support 3: Y103.30
Comments: The pair has tested resistance on Y107.80/90 (Sep 11 high). Above the target comes at Y109.00 with stronger – on Y110.60 (Aug 15 highs). Support is around session low on Y105.70. Below losses may widen to Thursday’s low on
Y104.00 and then – to stronger support at Y103.30 (trend line from Mar 17).

Resistance 3: Chf1.1410
Resistance 2: Chf1.1320
Resistance 1: Chf1.1260
Current price: Chf1.1233
Support 1: Chf1.0880
Supporrt 2: Chf1.0840
Suppot 3: Chf1.0720
Comments: The pair has tested resistance on Chf1.1260 (Sep 16 high) with stronger level comes on Chf1.1320 (earlier broken channel support line from Jul 16). Above the target is around Sep 11 high on Chf1.1410/20. Break under Chf1.0880 will widen losses to Aug 21 lows on Chf1.0840 and then – to Chf1.0720 (50% Fibo).

Resistance 3: $1.8460
Resistance 2: $1.8165
Resistance 1: $1.8080
Current price: $1.7960
Support 1: $1.7915
Support 2: $1.7840
Support 3: $1.7740
Comments: GBP/USD is under pressure Friday amid general dollar’s demand. Support comes at session low on $1.7915, then – on $1.7840. Next band of support comes at Sep 13 low on $1.7730/40. If recover resumes, upside target comes at $1.8080 with stronger level is around yesterday’s high on $1.8165/70. Key resistance comes at 38.2% Fibo of $2.0132 - $1.7640 decline on $1.8460/70.

Resistance 3:$1.4500
Resistance 2: $1.4360
Resistance 1: $1.4270
Current price: $1.4185
Support 1: $1.4180
Support 2: $1.4080
Support 3: $1.4000
Comments: Tech on euro hasn't changed. Rate is close to channel support line from Sep 11 on $1.4180 with a break under will open the way to Sep 16 low on $1.4075/80. Below losses extends to $1.4000. Resistance is around 23.6%Fibo from yesterday’s high – at $1.4270/80 with stronger level at $1.4360. Key resistance remains near channel line from Jul 22 on $1.4500/10.

EUR/USD $1.4240, $1.4000, $1.4600
USD/JPY Y105.00, Y106.50
USD/CAD C$1.0620

The dollar rose the most in a month against the yen as central banks pumped cash into global credit markets and U.S. officials said they were developing a plan to stop banks from failing.
The currency gained for the first time in three days versus the euro as Treasury Secretary Henry Paulson and Federal Reserve Chairman Ben S. Bernanke proposed moving troubled assets from the balance sheets of American financial companies into a new institution. The yen fell for a third day against the Australian and New Zealand dollars as investors bought higher-yielding assets funded in the Japanese currency.
Investors are gaining confidence after the Fed agreed with global central banks to almost quadruple the amount of dollars they can provide to money markets to $247 billion. The cost of borrowing in dollars for three months jumped the most since 1999 on Sept. 17 after Lehman Brothers Holdings Inc. filed for the biggest bankruptcy in history and a U.S. government rescue of American International Group Inc. failed to calm investors.
U.S. regulators met with lawmakers late yesterday to the discuss a plan to clean up the devalued mortgage-linked assets at the root of the worst credit crisis since the Great Depression. Congressional leaders said they intend to pass legislation within days.
The dollar is still heading for a weekly decline versus the yen on speculation credit-market losses will deepen, adding to signs that the world's largest economy may slow further.

EUR/USD the pair has decreased and has established sessional low on $1,4150. Then a rate has receded in area $1,4180 a little.
GBP/USD dollar continues to become stronger. The rate, having opened on a mark $1,8155, has decreased in area $1,7915.
USD/JPY the pair has established a session high having reached mark Y07,70.

Today to not be expected publications of any statistical data.

The dollar touched a two-week low versus the euro after the world's biggest central banks said they will act to revive financial markets, reducing demand for the greenback as a haven.
The yen dropped versus the New Zealand and Australian dollars as the Federal Reserve, Bank of Japan and European Central Bank joined global counterparts to reverse the seizure in credit markets, reviving demand for higher-yielding assets. The dollar remained lower versus the euro as U.S. initial jobless claims unexpectedly increased last week.
The Fed said in a statement on its Web site it authorized other central banks to auction $180 billion in dollar funds to financial institutions. The ECB will offer up to $40 billion for one day today and increase the amount of dollars provided to European banks in existing longer-term auctions, it said
The U.S. currency remained lower versus the euro as the Labor Department reported that the number of Americans filing first-time claims for unemployment benefits increased to 455,000 in the week ended Sept. 13, from 445,000 in the previous week. The median forecast of 38 economists surveyed by Bloomberg News was for a drop to 440,000.

EUR/USD after growth in first half of day could will become stronger up to $1.4542 then has failed in area $1,4285.
GBP/USD Position of pound versus dollar have not changed. The pair the beginning session on $1,8139, after changeable trade during day within the limits of $1,8080-$ 1,8280, has finished Thursday on $1,8145.
USD/JPY having begun the trade on Y104.31, the rate could will become stronger in second half of day in area Y105,70.

Japanese stocks tumbled to a near four-year low on concern more global financial firms will fail after the U.S. government took over American International Group Inc. and Morgan Stanley was said to be seeking a buyer.
Nomura Holdings Inc., Japan's biggest brokerage, dived 6.4 percent to the lowest in five years, while Nipponkoa Insurance Co. sank 10 percent. Sony Corp. lost the most in five years after Goldman Sachs Group Inc. cut its rating. Sumitomo Metal Mining Co., the nation's biggest gold producer, jumped 7.2 percent after gold prices surged the most in nine years.
The Topix index fell 23.75, or 2.1 percent, to close at 1,097.68 in Tokyo, the lowest since December 2004. The Nikkei 225 Stock Average declined 260.49, or 2.2 percent, to 11,489.30, a level not seen since June 2005. All but six of 33 industry groups on the Topix retreated.

European stocks fell for a fourth day as slower profit growth at Pernod-Ricard SA weighed on food and beverage companies and some investors speculated plans by the world's largest central banks to inject $247 billion into the financial system won't be enough to stop the industry's slump.
Pernod declined 9.9 percent after reporting the smallest earnings increase in three years and saying weaker economies will hamper growth. Barclays Plc retreated 5.3 percent after raising 701 million pounds ($1.3 billion) in a share sale. British Airways Plc sank 11 percent as financial-industry bankruptcies and job losses threaten trans-Atlantic business travel, the carrier's most lucrative market.
Banks are the worst performers among 18 industries the Stoxx 600 this year, losing 40 percent as a group. More than $19 trillion has been wiped off global stock-market value since Oct. 31 as the worst U.S. housing recession since the Great Depression and more than $500 billion in credit losses and writedowns at banks slowed the world economy.
Lloyds TSB Group Plc, the bank that considered buying Northern Rock Plc, sank 15 percent to 237.5 pence after it agreed to acquire HBOS Plc for 232 pence a share, or about 12.2 billion pounds, to create a lender that controls more than a quarter of the U.K. mortgage market. HBOS soared 17 percent to 172.6 pence.
Heineken NV, the biggest Dutch brewer, decreased 3.5 percent to 29.87 euros.
British Airways slumped 11 percent to 217 pence. Airlines worldwide experienced a ``sharp slowdown'' in growth of passenger numbers in July as first- and business-class travel declined, the International Air Transport Association said today in a statement.
Air France-KLM Group, Europe's largest airline, fell 3.1 percent to 15.735 euros. Deutsche Lufthansa AG, the second- biggest, decreased 3.2 percent to 14.28 euros.

U.S. stocks tumbled as bank lending seized up in the wake of the government's takeover of American International Group Inc., raising concern that more of the nation's biggest financial companies will fail.
Goldman Sachs Group Inc. and Morgan Stanley, the two remaining independent U.S. securities firms after Lehman Brothers Holdings Inc. collapsed and Merrill Lynch & Co. was taken over, plunged the most ever. General Electric Co., the world's third-biggest company, fell 8.7 percent and U.S. Steel Corp. slid 11 percent. Yields on three-month Treasury bills sank to a 54-year low as investors sought the relative safety of government debt, and a measure of corporate borrowing costs surged to the highest since the crash of 1987.
Gold and silver surged as investors turned to precious metals as a store of value. Newmont Mining Corp., the largest U.S. gold producer, rose 12 percent to $42.25 for the second- biggest gain in the S&P 500. AIG, the largest U.S. insurer by assets, lost $1.44, or 38 percent, to $2.31 and extended its decline over the past year to 97 percent, after the government said it will receive a 79.9 percent stake in return for an $85 billion loan that analysts said will be repaid by liquidating the company. Goldman slid $32.68, or 25 percent, to $100.33, its steepest drop ever. Oppenheimer cut its fourth-quarter earnings estimate to $2.60 a share from $3.45.

Resistance 3: Y110.60
Resistance 2: Y109.00
Resistance 1: Y107.80
Current price: Y107,29
Support 1: Y105.70
Support 2: Y104.00
Support 3: Y103.30
Comments: The dollar gained versus the yen for a second day. Dollar printed double bottom on 4-hours charts, suggesting the recovery may continue. Resistance is around Sep 11 high on Y107.80/90. Above the target comes at Y109.00 with stronger – on Y110.60 (Aug 15 highs). Support is around session low on Y105.70. Below losses may widen to Thursday’s low on
Y104.00 and then – to stronger support at Y103.30 (trend line from Mar 17).

Resistance 3: Chf1.1410
Resistance 2: Chf1.1320
Resistance 1: Chf1.1260
Current price: Chf1.1191
Support 1: Chf1.0880
Supporrt 2: Chf1.0840
Suppot 3: Chf1.0720
Comments: On Thursday, USD/CHF fell down to almost Chf1.0880 support ((38.2% of Chf1.0012 – Chf1.1422 rally) before rebounded sharply and currently rate looks optimistic. Resistance is near Sep 16 high on Chf1.1260 with stronger level comes on Chf1.1320 (earlier broken channel support line from Jul 16). Above the target is around Sep 11 high on Chf1.1410/20. Break under Chf1.0880 will widen losses to Aug 21 lows on Chf1.0840 and then – to Chf1.0720 (50% Fibo).

Resistance 3: $1.8460
Resistance 2: $1.8165
Resistance 1: $1.8080
Current price: $1.8069
Support 1: $1.7980
Support 2: $1.7840
Support 3: $1.7740
Comments: GBP/USD is under pressure Friday amid general dollar’s demand. Support comes at 8-days channel line on $1.7970/80, then – on $1.7840. Next band of support comes at Sep 13 low on $1.7730/40. If recover resumes, upside target comes at $1.8080 with stronger level is around yesterday’s high on $1.8165/70. Key resistance comes at 38.2% Fibo of $2.0132 - $1.7640 decline on $1.8460/70.

Resistance 3:$1.4500
Resistance 2: $1.4360
Resistance 1: $1.4270
Current price: $1.4210
Support 1: $1.4180
Support 2: $1.4080
Support 3: $1.4000
Comments: EUR/USD fell on U.S. government plans to revive credit markets and prevent further finance industry collapses. The Fed almost quadrupled the amount of dollars central banks can auction around the world to $247 billion in a coordinated bid to ease the worst crisis facing financial markets since the aftermath of the 1929 Wall Street crash. Rate is close to channel support line from Sep 11 on $1.4180 with a break under will open the way to Sep 16 low on $1.4075/80. Below losses extends to $1.4000. Resistance is around 23.6%Fibo from yesterday’s high – at $1.4270/80 with stronger level at $1.4360. Key resistance remains near channel line from Jul 22 on $1.4500/10.

05:00 Japan Leading composite indicators (July) final 61,4 91,6
05:00 Japan Coincident Index (Jul) 103,5 103.3
06:00 Germany PPI (August) Y/Y 8,9%
06:00 Germany PPI (August) 2.