Trade, capital markets in the United States began positive territory yesterday, supported by news that the Federal Reserve will create a fund to buy short-term bonds issued by companies that can not secure access to capital. The decision of the U.S. central bank is the result of the fall in bond market, which is caused by the withdrawal of funds even companies that are poorly linked to the credit crisis. Establishing the fund Ministry of Finance will make a deposit at the Federal Reserve of New York, the amount of bonds to be bought, not yet specified.
In mid-session, market participants again returned bear moods, after disappointing reports of Bank of America plan to prevent the Fed. The second largest financial institution in the U.S. reported 68 percent drop in profit for the third quarter as lower dividend by 50 percent to 32 cents for the shares, adding it will increase its capital by 10 billion dollars through the sale of ordinary shares. Securities of Bank of America noted the biggest drop among blue chips as they lost 19 percent to 26 dollars.

Shares of General Motors become cheaper with 6 percent to 7.90 dollars and are in second place among the “Bears” in Dow Jones. Department of the European Automobile Manufacturers planned to reduce its production by 40 thousand till the end of the year after the credit crisis resulted in a decrease in the sale of vehicles.

One of the most serious reductions within the Standard & Poor’s 500 marked General Growth Properties Inc. Shares of the company which owns 200 molls in the states are thrown down by over 48 percent to 3.50 dollars after it became clear that dividends on ordinary shares will be a major financier of the corporation has been suspended from his post.

Big drop noted the shares and Apartment Investment and Management Co., Lowering by 22 percent to 27.30 dollars. The company also is among the components of the index Broader announced that they would expect additional costs from 3 to 6 million in the third quarter due to damages from hurricanes on its facilities. AIM is among the largest owners of apartment complex in the U.S..

The main indexes ended the second session of the week even greater losses. The index of blue-chip Dow Jones Industrial Average sank by 5 percent to 9445 points. The broad S&P 500 lost 5.6 percent to 1005 points, while the Nasdaq Composite was again the most under-performing lower by 5.8 percent to 1754 points.

NYSE traded volumes were about 1.73 billion shares at the losers / winning 9 to 1 and on NASDAQ - about 2.80 billion shares at the losers / winning 6 to 1.

Technical analysis

S&P 500 - USA

S&P 500 falls for fifth consecutive day, ended the session at levels close to the lowest levels on Monday. Picture about the index remained negative, and today the first support is expected at the border of 1000 points. In psychological breakthrough in next frontier will be expected to support around 970, followed by 910. In upward direction if asc movement renewing the first objective will be old in 1075 support, which is 61.8 adjustment of the ascending movement from 768 to 1576. Upon successful break above its next resistance is expected in 1170, which is 50.0% correction of this movement.

DAX 30 - Germany

Pictures about the German DAX was identical to that of the U.S. S&P 500 index celebrated as a new downturn, but remained above its lowest value since Monday. Values continue to be negative, as today the first support remains the key level of 5380. Break below it will move on target in 5150, which is 50 percent correction of growth in 2183 to 8118. In the opposite direction first resistance is expected in 5850, which is 32.8% Fibo correction movement said. In the breakthrough against him next resistance is expected around 6200, where a 50-day average, followed by 6540.

Stock exchanges in Russia with great growth today Most indexes in Europe decreased due to the bankruptcy of Washington Mutual Fears of recession continued pessimism returned to Wall Street Asian indexes increased up to today’s session Significant growth of exchanges in Europe Again weak data in the U.S. press in Exchange indexes down U.S. market shares and Election Bank of America buys Merrill Lynch for 50 billion dollars The U.S. Federal Reserve provide 800 billion dollars to encourage lending Exchanges in Asia registered the most serious sessions in its history Volkswagen briefly became the biggest company in the world by market capitalization HSBC - a conservative approach for the salvation of the crisis Real estate funds in Asia has 10 billion dollars unused capital Russian billionaire lost 230 billion dollars since the beginning of the crisis G7 draw everything necessary to unfreeze money and credit markets Bankruptcy of Iceland, IMF helps the country Investment and investitions in Russian business and market 122.8 billion may not be enough to save AIG from bankruptcy Possible regulation of markets for raw materials in U.S. General Motors and Chrysler want help from the government for its merger UK interest rates at low levels for the past 57 years Alpha Bank & Trust bankruptcy failure in the U.S. The price of oil continues to fall United States stopped short selling of financial shares White House advises banks to open credit U.S. automotive manufacturers can benefit from financial Rescue Plan Two more banks liquidate in U.S. Smartphones drive mobile markets Bomber targets Sri Lankan capital Deadly attacks hit Afghan capital Ugandan LRA ‘in church massacre’ Indexes in the U.S. went to increase. Sales of new homes in the U.S. with unexpected rise in September Oil leaps to 5 percent, gold also rose up Confidence in the economy of Germany fell more than expected Sale of assets and shares of Fortis for 4 billion dollars is stopped The price of oil lowest for the past 21 months The meeting of G-20: The world has turned to a new economic order DR Congo rebels ‘oust Gen Nkunda’ New bid to ease Zimbabwe crisis Gaza factions in ‘day-long truce’ Hamas leader urges West to talk US warning on South Asia tension UN holds Gaza crisis discussion Ukraine ‘making gas crisis worse’ Crisis claims Icelandic cabinet Gaza clashes spark ‘major crisis’ Brown sees ‘no clear map’ for crisis UK unveils fresh boost for banks Executive Director of Internet company Yahoo is leaving his post Here comes the second wave of massive losses for banks in Europe and the U.S.?