Good morning. Here’s what you need to know:
- Asian markets were mostly lower in overnight trading, with the Nikkei down 1.75%. European indices are all lower in morning trading, and U.S. futures suggest a lower open. See 10 Unusual Stocks Attracting Huge Interest In The Pre-Market Right Now >
- Q3 GDP met expectations with a 2.0% rise. Read analysis here >
- Consumer sentiment missed expectation. Read analysis here >
- Sony posted better than expected Q3 profits, surging from last year’s loss. The profit rise is considered a product of extensive cost cutting measures by the company’s new CEO, Howard Stringer.
- Japanese industrial production for September came in way worse than expected, down 1.9%. The country’s problem with deflation persists, with core consumer prices falling 1.1% year-over-year. Here’s an explanation of Japan’s deflationary environment >
- AIG’s IPO of AIA, its Asian division, looks to be a significant success. Beyond a successful share sale, today’s first day of trading saw the stock’s value rise 17% on the Hang Seng. Check out 12 snapshots of China’s wild IPO market >
- Samsung failed to beat, and only met expectations for profit growth in Q3. The company made $4.36 billion during the period, but the outlook for this quarter is weak due to sliding demand.
- German retail sales plummeted in September, down 2.3% from August. The sharp decline should raise further concern that Germany has yet to solve its domestic consumption problem, which could hinder both its and the broader eurozone’s recovery. Here’s why Germany, and Europe, are doomed to crisis after crisis >
- Increasing demands from France and Germany over new rules for eurozone members and domestic pressures are driving Portuguese, Irish, and Greek CDS higher this morning. Greek CDS has widened significantly, by over 50 bps, to nearly 800. Reminder: Here’s who gets slammed in a Greek default >
- Consumer prices rose 1.9% year-over-year in the eurozone, and so remained within the region’s inflation target. Unemployment in the region rose to 10.1% from August’s 10%.
- Bonus: Jessica Simpson insulted ex-husband Nick Lachey’s current girlfriend, Vanessa Minnillo, saying she paid for all her clothes because Lachey stole all her money.