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Good morning. Here’s what you need to know.
- Asian markets were down in overnight trading with the Shanghai Composite dropping 1.89%. Europe is lower as leaders continue to spar over the role of the ECB, and U.S. futures are moderately higher.
- rumours have been floating that the European Central Bank could in some way fund the IMF, which would in turn invest in the EFSF, which would then purchase sovereign debt. The proposal is said to be gaining traction and is lifting markets. France and Germany however continue to disagree on the role of the ECB. Don’t Miss: The 7 big debates happening in Europe right now >
- Greek prime minister Lucas Papademos unveiled his final 2012 budget today and the cabinet has been presented with the 2012 spending plan. The 2011 budget deficit is expected to hit 9%, because of the recession, slow reforms and weak tax collection. Meanwhile, the 2012 deficit is expected to be 5.4% of GDP because of a writedown of Greek debt.
- Italian prime minister Mario Monti faces a final confidence vote today. The Chamber of Deputies will begin the confidence ballot 2 PM local time. This comes after the 321-Senate voted in favour of Monti’s new government yesterday. Refresher: Here’s who gets crushed if Italy goes bust >
- Italian industrial orders fell 8.5% sequentially in September, worse than the 6% decline that analysts has expected. This is a sharp reversal after two months of gains.
- In earnings news, Heinz posted earnings of $0.81 per share before special items, with an 8.3% jump in sales. Growth was led by operations in emerging markets and global sales of its ketchup. Meanwhile, retailer Ann Inc. is expected to post earnings of $0.57 per share.
- Salesforce posted Q3 net loss of $3.8 million or $0.03 per share, on revenue of $584.3 million. The company warned that it could miss analyst expectations in the fourth quarter and shares were hit in after-hours trading. Now here are 15 stocks that tons of people are shorting >
- In an attempt to win support from regulators for their $9 billion merger, Deutsche Boerse AG and NYSE Euronext have agreed to concessions, that include selling some businesses and giving rivals access to a major derivative clearing house.
- Spanish voters are expected to elect the opposition People’s Party by a massive majority on Sunday. Spanish frontrunner Mariano Rajoy has said he will restore confidence in the troubled economy and drive business growth after the election in which voters are expected to go against the Socialist government.
- The Conference Board’s index of leading indicators for October will be released at 10 AM ET. Consensus is for a 0.5% month-over-month change. Follow the release at Money Game >
- BONUS – Demi Moore has filed for divorce after six years of marriage to Ashton Kutcher.