5:30PM New York, 11:30PM Frankfurt, 7:30AM Sydney– U.S. stocks edged higher after volatile trading on a rise in holiday Internet sales and an increase in mortgage applications. Australia third quarter GDP growth rate fell. Japan considers stimulus package.

Global Markets

U.S. stocks came under pressure after service index in November declined to 11-year low. The service industry is shrinking as consumers curtail spending, businesses lay off people and banks tighten lending. Separately private survey tracking jobs in private sector showed job loss of 250,000. Stocks closed higher after online retail sales increased on the first few days of holiday season and a rise in mortgage applications.

Japan government is likely to provide additional 100 trillion yen economic stimulus package. The falling exports and weak domestic economy has dragged economy in Japan to recessionary conditions. Toyota will cut bonuses for senior staff but not for top executives.

China stock indexes gained on a rise in telecom and financial stocks. Telecoms advanced on the hopes that 3G licenses will be allocated before the end of the year. Bank of America increased its stake in China Construction Bank. Property stocks declined on a rise in mortgage rates.

Australian third quarter GDP growth fell to 0.1% and non-farm sector growth declined 0.3%. Weak exports and falling domestic demand weakened the service and construction sector. Babcock & Brown received A$150 million in emergency funding from a syndicate of banks.

Stocks in Mumbai closed up in a volatile session. India is exploring cross border military or commando raid to eliminate terrorist camps if Pakistan fails to reign in local groups. Terrorists are using Karachi to finance their operations. SEBI extended margin facility for cross holdings to all investors.

North American Markets

Dow Jones Industrial Average gained 172.60 or 2.05% to a close of 8,591.69, S&P 500 Index increased 21.90 or 2.6% to 870.74, and Nasdaq Composite Index gained 42.58 or 2.94% to close at 1,492.38. In Toronto, TSX Composite Index dropped 30.85 or 0.37% to 8,296.96.

Of the stocks in Dow Jones Industrial Average 25 increased and 5 declined.

Alcoa Inc led decliners in the Dow with a fall of 4.8% followed by decreases in Chevron Corp of 1.1%, in Merck & Company of 0.8%, in Boeing Company of 0.6% and 3M Company of 0.3%.

Citigroup Inc led gainers in the Dow with a rise of 8.3% followed by increase in JP Morgan Chase of 6.1%, in American Express of 5.4%, in Coca-Cola Company of 5%, in Bank of America of 4.7% and in McDonalds Corp of 4.4%.

Of the stocks in S&P 500 index, 402 increased, 96 decreased and 2 were unchanged. Of the index stocks, 19 fell more than 3%, 211 closed above 3% and 20 surged more than 10%.

Freeport-McMoran led decliners in the S&P 500 index with a fall of 17.3% followed by losses in Smith International Inc of 10%, in Newmont Mining of 9%, in AES Corp of 8.2%, in Fifth Third Bancorp of 7.6% and in Leucadia National of 5.1%.

SanDisk Corp led gainers in the S&P 500 index with a rise of 25% followed by increases in CIT Group Inc of 24%, in LSI Corp of 21%, in XL Capital Ltd of 19% and in Jones Apparel of 16%.

South American Markets Indexes

Colombia led gainers in the region with a rise of 2.1% followed by increases in Argentina of 1.9%, in Mexico of 1.74% and in Brazil of 0.85%.

Peru led decliners in the region with a loss of 1.2% followed by losses in Chile of 0.6% and in Venezuela of 0.5%.

Europe Markets Review

In London FTSE 100 Index closed higher 47.10 or 1.14% to 4,169.96, in Paris CAC 40 Index increased 13.75 or 0.44% to close at 3,166.65 and in Frankfurt DAX index higher 35.45 or 0.78% to close at 4,567.24. In Zurich trading SMI increased 66.64 or 1.20% to close at 5,604.23.