Forex Overnight: Euro trading mostly firmer 
The euro is trading higher against most of its major counterparts this morning. In noteworthy news over weekend, the International Monetary Fund cautioned about risks to the global economic recovery and urged governments to implement tough reforms to boost growth. Meanwhile, a European Central Bank official, Ewald Nowotny, forecast that the euro would depreciate further due a difference in interest rate policies adopted by the ECB and major central banks. Against this backdrop, traders now look forward to speeches from top ECB officials today along with a report on German wholesale prices for guidance.
Likewise, in the US, a speech by the Chicago Federal Reserve Bank president, Charles Evans, will be closely tracked, in the light of comments made by Fed vice-chairman, Stanley Fischer, on Saturday. Fischer said that soft global economic growth might compel the Fed to slow the pace of its tightening process. At 05:00 GMT, the euro had risen 0.4% and 0.2% against the dollar and the pound, respectively, to trade at $1.2680 and GBP 0.7870.
The yen has risen marginally against the euro, and advanced by 0.4% against the USD amid strong demand for safe-haven assets.
UK Stocks: Expected to open weaker
The FTSE 100 is likely to open 59 to 65 points in the red.
Lloyds Employment Confidence and the British Retail Consortium Retail Sales Monitor are the key economic indicators scheduled for release today.
Essentra (ESNT), YouGov (YOU), Renewable Energy Generation (WIND) and Tristel (TSTL) are scheduled to report results today.
The Financial Times says that Colombian farmers have sued BP (BP/), alleging that the oil company was negligent in building the Ocensa pipeline in Colombia in the mid-1990s.
The Barron's financial newspaper has projected a rise of about 20% in the value of Rio Tinto’s (RIO) shares in the next year despite the company’s decision to reject Glencore’s (GLEN) takeover bid.
Royal Bank of Scotland Group (RBS) has partnered with Taulia to provide an opportunity for its corporate customers to make early repayment to their suppliers by electronic invoicing.
UK newspapers said Tesco (TSCO) may lose two more board members with the resignation of the company secretary and departure of the chief of its audit committee.
Asia: Trading lower
Asian markets are trading in negative territory this morning amid concerns over global economic growth.
In South Korea, technology sector stocks, LG Display (034220) and SK Hynix (000660) slid as their US peer, Microchip Technology, painted a gloomy outlook for the sector. In China, the trade surplus fell more sharply than expected in September. PetroChina (601857) fell, in line with a drop in oil prices. Inner Mongolia Yili Industrial Group (600887) and Kweichow Moutai (600519) shed value.
In Hong Kong, shares in Agile Property Holdings (3383), which had resumed trading following a week-long suspension, tumbled amid news that the company’s chairman, Chen Zhuolin, has been detained by Chinese authorities. China Taiping Insurance Holdings (966) slipped after it announced plans to raise about $828 million in a rights offer.
In Japan, markets are closed on account of a public holiday.
US Stocks: Futures trading in negative territory 
At 05:00 GMT, S&P 500 futures are trading 10.2 points weaker.
No key economic indicators are scheduled for release today.
Omnicom Group (OMC), Home Loan Servicing Solutions (HLSS), Heritage-Crystal Clean (HCCI), Heritage Financial Group (HBOS) and Life Partners Holdings (LPHI) are scheduled to announce results today.
In the after-hours trading session on Friday, Doral Financial (DRL) jumped 51% after a San Juan judge ordered the Puerto Rico Department of Treasury to refund about $229.9 million to the company. On the other hand, Shutterfly (SFLY) slid 6.7% amid reports that Silver Lake Management has abandoned its plans to acquire the company. GenCorp (GY) extended its regular session losses and fell 5.7%. The company reported a surprise net loss in the third quarter.
On Friday, the S&P 500 index shed 1.2% in the regular trading session amid weakness in technology sector stocks. Microchip Technology (MCHP) plunged 12.3% after the company lowered its second-quarter revenue guidance and issued an industry correction warning. Technology peers Intel (INTC) and Applied Materials (AMAT) slid 5.1% and 5% respectively. Juniper Networks (JNPR) tumbled 9.1% after it slashed its revenue and earnings estimates for the third quarter. International Business Machines (IBM) eased 0.3%. A broker initiated coverage on the stock with an “underperform” rating. Google (GOOG) declined 2.9%, paring its initial gains spurred on account of a broker’s positive recommendation.
Among other notable decliners, Microsoft (MSFT) slipped 4% and Cisco Systems (CSCO) fell 3.5%. Facebook (FB) shed 4%. Symantec (SYMC) slid 6.4% as traders reacted negatively to the company’s decision to split into two publicly traded companies. Ford Motor (F) edged down 0.4% after it posted a fall in Chinese passenger car sales for September. Exxon Mobil (XOM) fell 0.2% even as a World Bank arbitration tribunal ordered Venezuela to pay about $1.6 billion in compensation to the company. Family Dollar Stores (FDO) lost 0.3% after the company reported a significant drop in its fourth-quarter earnings.
On the upside, Medtronic (MDT) gained 0.7% on a positive reaction to the company’s future management structure plans, following the acquisition of Covidien (COV). Covidien added 0.3%.
Europe Stocks: Likely to open in the red 
The DAX and the CAC are expected to open 89 to 95 points and 50 points lower, respectively.
Key economic indicators scheduled for release today include the German Wholesale Price Index and Swiss Real Estate Index Family Homes.
HF Company SA (HF) and Kuehne + Nagel International AG (KNIN) are scheduled to report results today.
The Financial Times has revealed that senior bankers at Deutsche Bank AG (DBK) are leaving the bank amid newly imposed restrictions on bad behaviour by traders.
Compania General de Energia SA says that Gas Natural SDG SA (GAS) has agreed to acquire a 54% stake in the company from a group of controlling stakeholders. The company will make a share tender offer for the remaining stake.
Macro Update
Eurozone may show modest recovery
ECB executive board member, Peter Praet, said that the Eurozone would achieve modest recovery in the third quarter of 2014. However, he warned that downside risks, both regionally and globally, could disrupt the nascent recovery.
Rethink “considerable time” rate promise, says Fed’s Richard Fisher
The Dallas Fed president, Richard Fisher, forecast that economic growth would pick up over the next six months, citing improving US labour market conditions and easing inflationary pressures. Furthermore, he urged the Fed to reconsider its forward guidance and its pledge to keep interest rates near zero for a “considerable time” after it ends its bond-buying stimulus.
Tarullo says Fed should consider global risks
Fed governor Daniel Tarullo said that the Fed should be alert to the downside risks to the global economy while framing its policies.
ECB president expects fiscal drag to ease
The European Central Bank president, Mario Draghi, said that he expects the headwinds of fiscal consolidation to become much more subdued in the future. In addition, he played down major risks in Eurozone government bond markets, and said he did not expect instability to impede possible sovereign bond purchases by the ECB.
China’s trade surplus narrows
The trade surplus in China has narrowed to just $30.9 billion in September, from a trade surplus of $49.8 bn posted in the previous month.
Economic Calendar
CountryGMT
Economic Indicator
Relevance
Consensus/*Actual
Previous/ **Previous Est.
Frequency
China
02:00
Trade Balance (Sep)
Medium
$30.94 bn*
$49.83 bn
Monthly
China
02:00
Exports (YoY) (Sep)
Low
15.30%*
9.40%
Monthly
China
02:00
Imports (YoY) (Sep)
Low
7.00%*
-2.40%
Monthly
Germany
06:00
Wholesale Price Index (YoY) (Sep)
Low
-
-0.60%
Monthly
Germany
06:00
Wholesale Price Index (MoM) (Sep)
Low
-
-0.20%
Monthly
UK
08:30
Lloyds Employment Confidence (Sep)
Low
-
6.00
Monthly
Eurozone
12:00
ECB's Executive Board Member Praet Speaks in Munich
Low
-
-
-
Eurozone
16:00
ECB's Weidmann Speaks in Bielefeld, Germany
Low
-
-
-
US
16:30
Fed's Evans Speaks on the Economic Outlook in Indianapolis
Low
-
-
-
UK
23:01
BRC Retail Sales Monitor - All (YoY) (Sep)
Low
1.00%
1.30%
Monthly
Japan
23:50
Domestic Corporate Goods Price Index (YoY) (Sep)
Low
3.60%
3.90%
Monthly
Japan
23:50
Domestic Corporate Goods Price Index (MoM) (Sep)
Low
-0.10%
-0.20%
Monthly
Japan
23:50
Money Supply M2+CD (YoY) (Sep) (F)
Low
2.90%
3.00%**
Monthly
Japan
23:50
Money Supply M3 (YoY) (Sep)
Low
2.40%
2.40%
Monthly
China
-
Foreign Exchange Reserves (Q3)
Medium
$4.00 tn
$3.99 tn
Quarterly
China
-
New Yuan Loans (Sep)
High
CNY 745.80 bn
CNY 702.50 bn
Monthly
China
-
Aggregate Financing (Sep)
Low
CNY 1150.00 bn
CNY 957.40 bn
Monthly
China
-
M0 Money Supply (YoY) (Sep)
Low
6.00%
5.60%
Monthly
China
-
M2 Money Supply (YoY) (Sep)
Low
13.00%
12.80%
Monthly
China
-
M1 Money Supply (YoY) (Sep)
Low
5.90%
5.70%
Monthly
Switzerland
-
Real Estate Index Family Homes (Q3)
Medium
-
437.20
Quarterly