Trader Talk: An Analysis of the Markets this Morning

Good morning,

Markets are called to open higher. China’s manufacturing strengthened more than anticipated this month, a sign the recovery is gaining momentum even as leaders struggle with surging home prices and local-government debt.

WHAT TO WATCH:

• China Manufacturing Gauge Tops Forecasts in Recovery Boost

• Greenspan Says Stocks Are ‘Relatively Low’ and Headed Upward

• Fed Stimulus Still Makes Sense for Economy: Goldman’s Cohn

• Euro-Region Banks Seen Accelerating Cleanup Before ECB Exams

• Total to Lead $1.2b Argentine Offshore Gas Development

• ING Groep Raises $974m in Sale of U.S. Unit Shares

• Aberdeen Proposes All-Share Offer for Scottish Widows: Sky

• HES in Talks With ArcelorMittal on Buying 78% Stake in Atic

• Aixtron to Sell 10.2m Shrs in Accelerated Bookbuild

• Sports Direct Shrs to Be Sold by Goldman in Bookbuild

• Asos management sells 2.3% stake; shrs said to be priced at 5000p

• Gemalto 3Q Rev. EU596m vs Est. EU639m; 2013 Forecasts Reaffirmed

• Klepierre 3Q Revenue Rises on Increased Rental Income

• Ipsos Sees 4Q Comparable Sales Growth Faster Than 3Q

• Merkel Complains to Obama Over Phone-Tapping Intelligence

• Berlusconi Indicted in Naples on Charges of Bribing Senator

EARNINGS All times local, estimates where available:

• ABB (ABBN VX) 6am, 3Q GAAP net $789.4m, sales $10.1b

• Credit Suisse (CSGN VX) 6:45am, 3Q pretax CHF1.24b, conf. call on LIVE <GO>

• Daimler (DAI GR) 7:30am, 3Q adj. EPS EU1.26, sales EU30.2b, conf. call on LIVE <GO>

• Pernod Ricard (RI FP) 7:30am, 1Q organic sales up 1.7%

• Unilever (UNA NA) 8am, 3Q underlying sales growth 3.3%, conf. call on LIVE <GO>

• Banco Santander (SAN SM) pre-mkt, 3Q GAAP net EU1.07b, conf. call on LIVE <GO>

• Software (SOW GR) 7am, 3Q GAAP EPS EU0.39

• Telenet (TNET BB) 7am, 3Q adj./GAAP EPS EU0.43

• Ericsson (ERICB SS) 7:30am, 3Q GAAP EPS SEK3.07b

• DNB (DNB NO) 7:30am, 3Q GAAP EPS NOK2.36

• SEB (SEBA SS) 7am, 3Q adj. EPS SEK1.53

• WPP (WPP LN) 8am, 3Q sales GBP2.68b

• Shire (SHP LN) 1pm, 3Q adj. EPS EU0.56

• Elan (ELN ID) 8am, 3Q

• Inchcape (INCH LN) 8am, 3Q sales, trading

• Segro (SGRO LN) 8am, 3Q sales, IMS

• St James’s Place (STJ LN) 8am, 3Q sales, trading

• Intrum Justitia (IJ SS) 7am, 3Q adj. EPS SEK2.81

• Wartsila OYJ (WRT1V FH) 7:30am, 3Q adj./GAAP EPS EU0.48

• Kesko (KESBV FH) 8am, 3Q adj./GAAP EU0.47

• Husqvarna (HUSQB SS) 8am, 3Q adj. EPS SEK0.39

• Neste Oil (NES1V FH) 8am, 3Q adj. EPS EU0.45

• Debenhams (DEB LN) 8am, 3Q adj. EPS GBP0.10

• UPM-Kymmene (UPM1V FH) 8:30am, 3Q adj. EPS EU0.17

• Banco Sabadell (SAB SM) 8:30am, 3Q adj. EPS EU0.03

• Metso (MEO1V FH) 11am, 3Q adj. EPS EU0.55

• Dassault Systemes (DSY FP) pre-mkt, 3Q adj. EPS EU0.88

• Amer Sports (AMEAS FH) noon, 3Q adj. EPS EU0.56

• Essilor (EI FP) 6:30am, 3Q sales EU1.28b

• Sandvik (SAND SS) TBD, 3Q GAAP net SEK1.53b

• Holmen (HOLMB SS) TBD, 3Q adj. EPS SEK2.29

• JM (JM SS) TBD, 3Q adj./GAAP EPS SEK3.26

• Bankinter (BKT SM) pre-mkt, 3Q adj. net EU51.5m

• Renault (RNO FP) post-mkt, 3Q sales EU8.5b

• Vinci (DG FP) post-mkt, 3Q sales EU10.5b

• AXA (CS FP) post-mkt, 3Q sales EU20.6b (1 est.)

• Cie de St-Gobain (SGO FP) post-mkt, 3Q sales EU10.8b

• Safran (SAF FP) 7am, 3Q sales EU3.39b

• Air Liquide (AI FP) 7:20am, 3Q sales EU3.89b

• Suez Environnement (SEV FP) 7:30am, 3Q sales EU3.7b

• AtoS (ATO FP) 8am, 3Q sales EU2.13b

• Thales (HO FP) 5:45pm, 3Q sales EU2.79b

• Kering (KER FP) post-mkt, 3Q sales EU2.54b

• Umicore (UMI BB) TBD, 3Q sales

• ICADE (ICAD FP) post-mkt, 3Q sales EU371m (1 est.)

Good day and happy trading!

Kristian Camenzuli