October 20Th International Financial Media Headlines

Below is

CNNMoney: Wall Street's worst performance in two months on Tuesday

As the bondholders forced the US bank to repurchase bad mortgage loans and the central bank announced the unexpected increase in interest rates, coupled with the real estate market economic data and the poor quarterly performance of the enterprises, the US stock market fell sharply on Tuesday.

Dow closed below 11000 point mark.

At the closing level, the Dow Jones Industrial Average fell 165.07 points, closing at 10978.62 points, or 1.48, at the close. The Nasdaq composite index dropped 43.71 points to 2436.95 points, or 1.76%, due to the recent good trend of the US stock market. The fall on Tuesday also became the worst day for US stocks in the past two months, and the major stock indexes of the three biggest single day falls since August 11th.

Bloomberg: Bank of America is required to pack bonds and buy back.

According to sources, Pacific Investment Management Co. (Management), BlackRock Inc. and the New York fed put pressure on the Bank of America to request the latter to repurchase the $47 billion bond sold by its Countrywide Financial Corp. subsidiary using mortgage loans.

After the real estate bubble burst in the US, these assets have become bad assets.

It is reported that a bondholders group has sent a letter to the Bank of America and the bond trustee of New York Mellon bank, and accused Countrywide of failing to operate these loans effectively.

In order to save Bell Sten and AIG, the New York Federal Reserve was forced to buy part of the mortgage in the period of 2008.

In the US, the biggest housing crisis since the 30s of last century, real estate prices in the United States have fallen sharply.

Under such circumstances, investors have taken measures to redeem mortgage-backed bonds held by them.

Reuters: YAHOO's three quarter results are disappointing

Internet giant Yahoo Corp (YHOO) announced on Tuesday that the third quarter of the fiscal year reported that its net profit was $396 million 100 thousand, or 29 cents per share.

The company posted a net profit of 186 million 100 thousand US dollars in the same period last year, or 13 cents per share.

Revenue in the three quarter was $1 billion 120 million, compared with $1 billion 130 million in the same period last year.

Excluding profit from selling HotJobs business, Yahoo Corp's earnings per share in the third quarter were 13 cents.

According to previous market research, analysts generally expected that Yahoo Corp's earnings per share in the third quarter were 15 cents and revenue was $1 billion 130 million.

Obviously, YAHOO's earnings report disappointed analysts.

CNBC: bull market in US stock market

Since the second half of 2010, Wall Street has proved the fact that the rise in the US stock market does not always require a favorable stimulus from the news; and in the current situation, even if there are not many real investors in the market, the stock market can also achieve good gains.

According to the data provided by Investment Company Institute and other institutions, in the past three months the US stock market has risen by more than 10%. During the past week, equity mutual funds failed to form net inflow of funds, which is the first time in the past twenty-five years.

Over the past few years, the macroeconomic statistics have shown that the US economy is still in a weak position, and a large amount of capital is still flowing into the bond market.

Even under such circumstances, the US stock market has shown a good resilience.

YAHOO Finance: US publishing industry continues to slump

The latest results show that the major newspaper publishers in the United States still do not get out of the plight of declining advertising revenue, which has been going on for three years.

On Tuesday, the two largest newspaper giant New York Time Co and McClatchy Co. announced their third quarter earnings respectively, while the quarterly reports of both companies showed that the advertising revenue of their current printing business was down again.

So far, the advertising revenue of these two companies has dropped sharply compared with the level in 2008.

More importantly, the digital businesses of the two companies did not bring enough revenue to compensate for the loss of printing business.

Even if the US is about to enter the traditional selling season, the outlook for the entire newspaper publishing industry is still not optimistic.

New York Time Co and McClatchy both said that after experiencing relatively good business conditions in July and August, their advertising revenue expanded again in September compared with the same period last year.

{page_break}

Financial Times: inflation pushed China's central bank to raise interest rates for the first time in three years

The people's Bank of China announced on the evening of 19 evening that it raised the benchmark interest rate for Renminbi deposits and loans of financial institutions since October 20, 2010.

Among them, the financial institutions' one-year deposit benchmark interest rate increased by 0.25 percentage points, from the current 2.25% to 2.50%; the one-year loan benchmark interest rate increased 0.25 percentage points, from the current 5.31% to 5.56%; in addition to the demand deposit interest rate has not been adjusted, all other grades of deposit and loan benchmark interest rates have been adjusted accordingly.

This is the first time the central bank has raised interest rates 3 years later.

It is widely believed that China's central bank has adopted interest rate raising instruments to cope with rising prices and rising cost of living and inflationary expectations.

New York Times: Goldman Sachs net profit dropped to $1 billion 900 million in the three quarter.

The latest report released by Goldman Sachs Group on Tuesday before the opening of the US stock market showed that the net income of the company in the third quarter of this year was 1 billion 900 million US dollars, or 2.98 US dollars per share, far below US $3 billion 190 million last year, or 5.25 US dollars per share, but still exceeded the 2.32 US dollars expected by Wall Street analysts.

As a result of the growth of bond underwriting, Goldman Sachs's investment banking business grew 24% in the three quarter compared with the same period last year, but the revenue of bonds, foreign exchange and commodity trading fell by 36%.

At the press conference announced by Goldman Sachs, Goldman Sachs Group Chief Executive Blankfein (Lloyd Blankfein) expressed his cautious attitude towards the current macro environment.

Blankfein pointed out: "in many important markets around the world, macroeconomic conditions are still very challenging.

India times: JP Morgan said India's economic growth will exceed China's growth rate.

Morgan Mowat, an Asian strategist at JP Chase Bank, answered questions about the India market and its growth rate in an interview with ET NOW news station in India on Tuesday. Mowat said India's growth rate might exceed China's Adrian.

India's growth rate has indeed surpassed some of its peers. When asked whether such rapid growth could continue, Mowat said that the yield of corporate bonds in emerging markets has dropped to 5.7%, making India the biggest beneficiary, and the current credit environment is very favorable for India. This shows that India is outstanding, and Mowat expects India's economic growth to continue to 2011.

Nikkei news: Japanese car companies pay beauty dealers rebate high

Sales rebates paid by Japanese top three automakers to American dealers have surged to record highs, increasing concerns about the profitability of these manufacturers.

TOYOTA, Honda and Nissan have increased their spending on sales rebates compared with competitors from the United States and Korea.

Between April and September, the sales rebates paid by these manufacturers to dealers averaged $2291 per vehicle, an increase of 27% over the same period last year.

Thestreet:Illinois Tool shares fell more than 5%

Deutsche Bank lowered its credit rating from Illinois's Illinois Tool to "hold" on Tuesday.

Because the company's third set of earnings reports show that the company's performance is not enough to reflect the current superior value of the company's stock.

Deutsche Bank lowered the target share price of Illinois tool products Co., Ltd. this year, from $59 A share to $54.

The quarterly report released by Illinois tool products Limited on Tuesday showed that the company achieved a profit of $419 million 300 thousand in the third quarter and a profit of 83 cents per share.

In the same period of 2009, the value was $302 million 400 thousand, and the contract profit was 60 cents per share.

Operating income of 4 billion 20 million US dollars, an increase of 12.2% over the same period last year.

Analysts surveyed by Thomson Reuters showed that the average earnings per share of Illinois tool products Co. were 82 cents.