A trader works on the floor of the New York Stock Exchange, Oct. 19, 2012. (Photo: Mary Altaffer AP)
NEW YORK -- Stocks were mixed Monday as traders unnerved by last
week's disappointing corporate earnings waited for another round Monday.
glum results from Wall Street giants Microsoft, General Electric and
McDonald's took traders by surprise and caused U.S. stocks to finish
substantially lower Friday. Investors in Asia and Europe on Monday saw
little reason to go against the flow.
"The U.S. market had a
significant drop," said Linus Yip, strategist at First Shanghai
Securities in Hong Kong. "A significant drop in the U.S. will have an
impact on Asian markets as a whole."
On Monday, Britain's FTSE 100, Germany's DAX and France's CAC-40 all were down a bit.
was subdued earlier in Asia. Japan's Nikkei 225 rose just 0.1% to close
at 9,010.71, weighed down by a widening of its trade deficit in
Japan's Finance Ministry said exports plummeted 10%
last month from a year earlier, hurt by financial and debt problems in
Europe, and a surge in anti-Japanese sentiment in China.
September, a territorial dispute with China over disputed islands in the
East China Sea sparked anti-Japanese riots. In the aftermath, exports
to China sank 14 from a year.
South Korea's Kospi lost 0.1% to 1,941.59 and Australia's S&P/ASX 200 dropped 0.7% to 4,541.
Kong's Hang Seng rose 0.7% to 21,697.55 and mainland Chinese shares
also posted gains. The Shanghai Composite Index rose 0.2% to 2,132.76
and the smaller Shenzhen Composite Index gained 0.5% to 882.03.
said that "hot money," or short-term speculative inflows, being
funneled into Hong Kong are helping to support its stock market. The
money is coming from investors who believe that mainland China's
slowdown has bottomed out and will start to pick up stream in the final
quarter of the year.
Markets may stay subdued ahead of the release
later in the week of U.S. data including monthly new home sales,
durable goods orders and third-quarter GDP figures, some analysts said.
The upcoming U.S. presidential election and developments in the Europe
debt crisis also added uncertainty to the mix.
Traders also awaited corporate earnings including Yahoo and Texas Instruments.
oil for November delivery was up 34 cents to $90.39 per barrel in
electronic trading on the New York Mercantile Exchange. The contract
fell $2.05 to end at $90.05 per barrel in New York on Friday.
In currencies, the euro rose to $1.3042 from $1.3023 late Friday in New York. The dollar rose to 79.81 yen from 79.27 yen.