[R]5:30PM New York, 11:30 PM Frankfurt, 3:00AM Mumbai – U.S. markets closed lower after tech stocks declined. Same store retail sales were mixed. UK led the gainers in Europe. Australia, India, Indonesia, Hong Kong, and Korea closed at record high.[/R]

[R]Global Markets Indexes[/R]

Dow Jones Industrial Average closed down 63.57 or 0.45% to a close of 14,015.12, S&P 500 edged lower 0.52% or 8.06 to 1,554.41, and Nasdaq Composite Index traded up 39.41 or 1.40% to a close of 2,772.20. In Toronto TSX Composite gained 46.75 or 0.33% to close at 14,229.44.

Of the 30 stocks in Dow Jones Industrial Average 8 closed higher, 22 closed lower, and none was unchanged. Boeing led the decliners with fall of 2.5% followed by losses in Caterpillar of 2.1%, in Intel of 1.74%, Alcoa of 1.7%, and United Tech of 1.6%. General Motors led the gainers with a rise of 4.9% followed by increases in Wal-Mart of 2.9%, Citigroup of 2.5%, and American Express of 0.9%.

Of the stocks in S&P 500 144 closed higher, 350 fell, and 6 closed unchanged. Five stocks rose 3% or more and 28 fell 3% or more. Ford Motor led the gainers with a rise of 6.5% followed by a rise of 4.9% in General Motors, and 4.3% in Johnson & Johnson. Nordstrom led the decliners with a fall of 7.5% followed by a loss of 7% in J C Penney, 5.8% in SanDisk, 5.6% in Amazon.com and Brunswick, and 4.8% in Polo Ralph Lauren.

In London FTSE 100 Index closed up 91.50 or 1.38% to 6,724.50, in Paris CAC 40 index 24.34 or 0.42% to close at 5,862.83, and in Frankfurt DAX index increased 0.58% or 47.12 to close at 8,033.69. In Zurich trading SMI added 0.39% or 35.98 to close at 9,218.28.

In Tokyo Nikkei 225 index added 1.64% or 281.09 to close at 17,458.98, in Hong Kong Hang Seng index closed up 1.97% or 563.69 to 29,133.02, in Australia ASX 200 closed up 0.50% or 33.60 to a record close of 6,7771.90, Sensex surged 0.84% or 155.82 to 18,814.07. In South Korea Kospi Index added 17.33 or 0.87% to a record close of 2,058.85. Indonesia surged 46.73 or 1.8% to a record close of 2,638.21.

In Latin Markets Peru led the gainers with a rise of 1.02% followed by increases of 0.86% in Colombia, 0.45% in Venezuela, and 0.01% in Chile. Argentina led the decliners with a fall of 1.43% followed by declines in Brazil of 1.17 and in Mexico of 1.2%.

In Brazil, iBovespa Index fell 1.17% or 741.27 to close at 62,455.77 and in Mexico Bolsa Index declined 0.46% or 148.45 to close at 31,980.95. Of the 63 stocks in iBovespa index in Brazil, 15 gained, 48 lost, and none closed unchanged.

Brasil Telecom and Natura led the decliners with a fall of 4.6% followed by losses in Souza Cruz of 4.6%, in Banco Itau of 3.8%, and in Unibanco of 2.7%. Cyrel Commercial led the gainers with a rise of 3.6% followed by increases in TIM of 1.7%, Vivo of 1.4%, and in Telesp of 1.3%.
Bond Yields edged a fraction on 10-year U.S. bonds to 4.64% and 30-year bond edged higher to close at 4.873%.

[R]Commodities, Metals, and Currencies[/R]

Crude oil rose $1.78 to close at $83.08 per barrel for a front month contract, up 35.0% for the year, natural gas declined 0.13 cents to $6.88 per mBtu, and gasoline futures increased 3.3 cents to close at 206.66 cents per gallon.

Gold increased $10.70 in New York trading to close at $756.70 per ounce, silver closed up 32 cent to $13.99 per ounce, and copper for front month delivery in London increased $126.00 to $8,233.00 per pound.

Dollar edged lower against euro to $1.419 from $1.414 and higher to 117.20 yen from 117.26 yen.

[R]U.S. Earnings Watch[/R]

PepsiCo (PEP: chart) added 2% after it reported third quarter earnings. Stock closed lower after it was dragged down in market sell-off. Net revenue increased 11%; division operating profit grew 10%; and the Company generated core earnings of $0.99 per share, an increase of 11%. On a reported basis, net income grew 17% and earnings per share grew 19%, and included non-cash tax benefits of $115 million related to the resolution of certain foreign tax matters.

[R]U.S. September Same Stores Sales[/R]

Apparel retailers reported mixed report of sales in the September month but several of them issued lowered sales guidance for October or reduced earnings for the quarter ending in September. Almost all the apparel retailers blamed weak performance on warm weather in the month. J C Penney and Nordstrom fell more than 7%.

Wal-Mart (WMT: chart) increased its third quarter estimates between $0.66 and $0.69 per share from $0.62 to $0.65 per share. The company also reported for the last five weeks same store sales rise of 1.4% and for the 35-weeks a gain of 1.5% excluding fuel sales. The company also guided sales rise in October between flat and 2%. The stocks closed up $1.31 to $46.90.

Target (TGT: chart) reported sales gain of 1.2%, below its already lowered range between 1.5% and 2.5%. The company estimates the annual earnings of below its previous estimate of $3.60 per share and issued October sales guidance of increase of between 3% and 5%. The stock fell $1.15 to close at $64.62.

Limited Brands, Ltd (LTD: chart) reported sales drop of 4% and said that its earnings will be below 4 cents per share in the third quarter. The stock closed up 38 cents to $21.96.