Spain September Bad Loan Ratio Continues To Climb To Record Levels

(JP) Japan Oct final Machine Tool Orders Y/Y: -6.7% v -6.7% prelim

(HU) Hungary Central Bank Q3 Debt Level data: Public debt at 77.1% of GDP

(EU) ECB: €1.82B borrowed in overnight loan facility €1.9B prior; €215.9B parked in deposit facility vs. €214.1B prior

(HK) Hong Kong Oct Unemployment Rate: 3.4% v 3.3%e

(IS) Israel Nov Inflation Forecast: 1.9% v 2.0% prior

(IS) Israel Oct Money Supply Y/Y: 8.6 v 11.8% prior

(ES) Bank of Spain Sept Bad Loan Ratio: 10.7% (record) v 10.5% m/m; Total Bad Loans at €182.2B vs. €178.6B m/m

(IT) Italy Sept Industrial Orders M/M: -4.0% v -1.0%e; Y/Y: -12.8% v -7.3%e

(IT) Italy Sept Industrial Sales M/M: -4.2% v -2.1%e; Y/Y: -5.4% v -2.6% prior

(GR) Greece Sept Current Account: €0.8B v €1.6B prior

(EU) Eurozone Sept Construction Output M/M: -1.4% v +0.6% prior; Y/Y: -2.6 v -1.4% prior

Fixed Income
(NL) Netherlands Debt Agency (DSTA) sold approx €2.41B vs. €2.0-4.0B indicated range in 3-month and 6-month Bills

Sold €1.32B vs.€2B indicated in 3-month bills; Yield: -0.029% v -0.030% prior; Bid-to-cover: 3.94x v 3.23x prior

Sold €1.09B vs. €2.0B indicated in 6-month Bills; Avg Yield: -0.020% v -0.012% prior; Bid-to-cover: 3.93x v 2.87x prior

(NO) Norway sold NOK3.0B vs. NOK3.0B indicated in 5% 2015 Bonds; Yield 1.48% v 1.43% prior; bid-to-cover: 2.93x

Notes/Observations
China's exports and imports said to have declined significantly in Nov, following rebound in prior 2 months

ECB's Asmussen: Greece will require aid beyond 2014, may not return to markets until 2015, 2016

LDP party leader Abe noted he would seek to appoint someone who agrees with his more aggressive inflation target as the next BOJ governor and signaled the BOJ may buy construction bonds

(UK) BoE Miles: more QE still an option

Spain Sept Bad Loan Ratio hits fresh record high of 10.7%

Firmer stocks on fiscal cliff optimism

Expectations Greece will get its money

Equities
Indices: FTSE 100 +1% at 5,658, DAX +1.3% at 7,038, CAC-40 +1.3% at 3,384, IBEX-35 +0.50% at 7,624, FTSE MIB +1% at 15,005, SMI +0.80% at 6,558, S&P 500 Futures +0.40% at 1,366

European equity indices are broadly higher. Some have cited more positively related to the US deficit talks for today's gains. Additionally, China's Shanghai Composited closed higher, after testing the psychologically important 2,000 level. Resource related firms are broadly higher, tracking the gains in oil and copper prices. Banks are trading higher, led by gains in Barclays and Commerzbank.

In terms of individual movers, Dutch geological data firm Fugro has declined by over 15%, as the company disclosed a profit warning and announced the resignation of its CEO. In Germany, Hochtief [HOT.DE] has gained over 4%, amid speculation that the firm's CEO could resign. Shares of BP [BP.UK] are higher by over 2%, following reports that the firm could announce a share buyback plan in a move to deter hostile bidders. Retailer Ocado [OCDO.UK] is higher by over 20%, after the firm reported its 6-week sales figures and announced a refinancing agreement.

FTSE 100 movers (ENRC +3.4%, Barclays +3%, Evraz +2.8%, Kazakhmys +2.6%, ARM Holdings +2.6%, BP +2.5%; Intertek -2.5%, Serco Group -1.7%)

CAC-40 movers (STMicroelectronics +3%, Credit Agricole +3%, Renault +2.3%, Alcatel-Lucent +2.3%, SocGen +2.1%)

DAX movers (Continental +3.1%, Commerzbank +3.1%, Infineon +2.6%, Luftansa +2.6%, Heidelberg Cement +2.2%)

IBEX-35 movers (Fomento +2.2%, Gamesa +1.8%, Acerinox +1.5%, Red Electrica +1.4%, Obrascon +1.2%; Banco Popular -3.9%)

FTSE MIB movers) (Fiat +2.6%, Luxottica +2.3%, Mediaset +2.1%, Tenaris +2%, Pirelli +1.9%; Atlantia -3.2%, Terna Rete Electrica -1.5%)

SMI movers (Credit Suisse +2.1%, Richemont +2.1%, Transocean +2%, UBS +1.9%, Swatch +1.8%)