Market Survey on 12/01/2011

Pre-Market Survey on 12/01/2011
Today’s Events:

1. 8:30 am. Initial Claims increases against previous and expectation, avg also tick up. Continuing claims in data for the November 19 week rose 35,000 to 3.740 million which is the highest level in two months.

Released on 12/1/2011 8:30:00 AM For wk11/26, 2011
Prior Prior Revised Consensus Consensus Range Actual
New Claims - Level 393 K 396 K 391 K 385 K to 405 K 402 K
4-week Moving Average - Level 394.25 K 392.25 K 395.75 K
New Claims - Change 2 K 4 K 6 K


2. Manufacturing index rises. ISM new orders are turning higher in what is very good news for the manufacturing sector. The new orders index for November is up a very strong 4.3 points to 56.7, above 50 to indicate monthly growth and well above October. Details show acceleration for export orders and for production. Delivery times are little changed while input prices slipped for a second month. Backlog orders are going down which is a negative that will hopefully be offset by the rise in new orders. Another disappointment is employment where hiring slowed, here too a factor that will hopefully reverse. Inventory readings are stable.
Released on 12/1/2011 10:00:00 AM For Nov, 2011
Prior Consensus Consensus Range Actual
ISM Mfg Index - Level 50.8 51.5 50.5 to 52.5 52.7

3. Construction outlays rises.

Construction Spending
Released on 12/1/2011 10:00:00 AM For Oct, 2011
Prior Consensus Consensus Range Actual
Construction Spending - M/M change 0.2 % 0.3 % -0.4 % to 0.5 % 0.8 %


4. Manufacturing activity in China shrank in November for the first time in nearly three years, while output elsewhere in Asia also softened, raising questions about the region's ability to drive the global economy amid sluggish demand from the West.. "Weakening external demand, specifically the rapid deterioration in the euro-area growth outlook and its possible impact on global growth, is the biggest risk facing the Chinese economy," wrote analysts at Barclays Capital in a note to clients.

5. The euro zone's manufacturing sector contracted at a faster rate in November, with production and new orders falling at the strongest rate since the height of the credit crunch in 2009, a monthly survey by Markit showes.

6. Spain Auction Reassures As France Finishes 2011 Bond Issuance. The Spanish Treasury sells the maximum targeted EUR3.75 billion in three non-benchmark government bonds at an auction, but pays higher yields than at previous auctions.

7. ECB's Draghi Rules Out Unlimited Bond Buys

8. Germany supports European Union treaty changes and recognizes they would involve sacrificing some national sovereignty, but still opposes any form of euro-zone bonds, German Economy Minister Philipp Roesler says in a speech


9. Finance Ministers Agree To EU Debt Guarantees
EU finance ministers agreed to a plan for coordinated guarantees provided by national governments for longer-term debt issued by the region's banks, part of an effort to thaw the region's frozen wholesale lending market.


Market reactions:
Nikkei 8,602.47 +5.09 +0.06%
TOPIX 740.37 +0.36 +0.05%
Hang Seng 18,895.60 -106.68 -0.56%
S&P/ASX 200 4,251.50 +22.90 +0.54%
Shanghai 2,352.52 -34.34 -1.44%
Dow 12,020.00 -25.65 -0.21%
S&P 500 1,244.58 -2.38 -0.19%
Nasdaq 2,626.20 +5.86 +0.22%
S&P/TSX 12,113.30 -90.82 -0.74%
Mexico Bolsa 36,567.60 -261.52 -0.71%
Brazil Bovespa 58,143.40 +1268.44 +2.23%

Commodity:
Energy
PRICE* CHANGE % CHANGE TIME
BRENT CRUDE FUTR (USD/bbl.) 109.300 0.310 0.28% 22:51
GAS OIL FUT (ICE) (USD/MT) 945.000 6.750 0.72% 22:53
HEATING OIL FUTR (USd/gal.) 300.020 3.070 1.03% 22:51
NATURAL GAS FUTR (USD/MMBtu) 3.648 0.000 0.00% 22:44
GASOLINE RBOB FUT (USd/gal.) 260.970 5.180 2.03% 22:47
WTI CRUDE FUTURE (USD/bbl.) 100.060 -0.140 -0.14% 22:53
Agriculture
PRICE* CHANGE % CHANGE TIME
CANOLA FUTR (WCE) (CAD/MT) 500.000 0.100 0.02% 20:34
COCOA FUTURE - LI (GBP/MT) 1,460.000 -5.000 -0.34% 12/01
COCOA FUTURE (USD/MT) 2,287.000 -18.000 -0.78% 12/01
COFFEE 'C' FUTURE (USd/lb.) 235.700 -1.200 -0.51% 12/01
CORN FUTURE (USd/bu.) 602.250 0.750 0.12% 22:48
COTTON NO.2 FUTR (USd/lb.) 91.380 0.080 0.09% 22:46
FCOJ-A FUTURE (USd/lb.) 177.250 1.150 0.65% 12/01
WHEAT FUTURE(CBT) (USd/bu.) 616.750 2.500 0.41% 22:50
WHEAT FUTURE(KCB) (USd/bu.) 672.750 3.750 0.56% 22:40
SUGAR #11 (WORLD) (USd/lb.) 23.590 -0.100 -0.42% 12/01
SOYBEAN FUTURE (USd/bu.) 1,130.750 2.750 0.24% 22:50
LUMBER FUTURE (USD/1000 board feet) 222.400 2.800 1.28% 22:25
OAT FUTURE (USd/bu.) 318.500 -1.500 -0.47% 22:25
ROUGH RICE (CBOT) (USD/cwt) 14.815 0.040 0.27% 22:12
SOYBEAN MEAL FUTR (USD/T.) 288.900 -0.100 -0.03% 22:47
SOYBEAN OIL FUTR (USd/lb.) 49.710 0.010 0.02% 22:48
WOOL FUTURE (SFE) (cents/kg) 1,355.000 15.000 1.12% 12/01
Industrial Metals
PRICE* CHANGE % CHANGE TIME
COPPER FUTURE (USd/lb.) 353.950 0.550 0.16% 22:53
Precious Metals
PRICE* CHANGE % CHANGE TIME
GOLD 100 OZ FUTR (USD/t oz.) 1,745.100 5.300 0.30% 22:55
HKMEx GOLD (USD/t oz.) 1,746.100 -5.900 -0.34% 22:50
SILVER FUTURE (USD/t oz.) 32.780 0.021 0.06% 22:55
HKMEx SILVER (USD/t oz.) 33.520 0.000 0.00% 22:18
Livestock
PRICE* CHANGE % CHANGE TIME
LIVE CATTLE FUTR (USd/lb.) 124.500 0.775 0.63% 22:44
CATTLE FEEDER FUT (USd/lb.) 146.425 0.325 0.22% 22:14
LEAN HOGS FUTURE (USd/lb.) 90.400 0.125 0.14% 22:43

FOREX (http://www.dailyfx.com/technical_analysis/pivot_points/)
Candlestick Summary
Currency Last Formation Trend Bias
EUR/USD EVENING STAR bearish
USD/JPY
GBP/USD BEARISH ENGULFING bearish
AUD/USD INVERTED HAMMER bullish
USD/CAD HARAMI bearish
NZD/USD INVERTED HAMMER bullish