MARKET WRAP-UP

Stocks soared on the back of a better than expected ISM Services report and a Goldman Sachs upgrade of the banks.  Banks rallied over 3%.  Daily Futures wraps up the action from all markets:

U.S. Economy
The Institute of Supply Management’s index of services increased from 48.4 to 50.9 in September, stronger than expected and the first sign of expansion in over a year. The December 2010 eurodollars were up .005 at 98.375.

Grains and Cotton
Here comes a taste of winter – Yesterday’s 6 to 10 day forecast from the National Weather Service is expecting below average temperatures and normal precipitation in the northern states of the Midwest. December corn closed up 8 cents at $3.415.

The USDA said that last week’s export inspections of:
Corn totaled 38.4 million bushels, up 4% from a year ago.
Soybeans totaled 12.5 million bushels, down 13% from a year ago.
Wheat totaled 18.0 million bushels, down 44% from a year ago.

This afternoon’s Crop Progress Report from the USDA will likely show some advance of harvest activity after a weekend of patchy rains over the Midwest.

Cocoa
December cocoa surged $239 to a new contract high of $3,240, blamed on fund buying and ongoing concerns about the upcoming 2009-2010 crop.

Metals
December gold continues to take advantage of the weak dollar and closed up $13.50 at $1,017.80, the highest close in two weeks.

Currencies
Japan’s Finance Minister Fujii said that his country still needs fiscal and monetary support and that his government was willing to take action against the yen, if the price moves got too extreme. The December yen ended up .0014 at 1.1177.

Eurostat said that its index of retail sales in the EU-27 was down .3% in August and down 1.8% from a year ago. Also, a composite index of manufacturing and services increased from 50.4 to 51.1 in September, better than expected. The December euro closed up .0073 at $1.4660.

An index of services in the U.K. increased from 54.1 to 55.3 in September, the best in two years.

Source: Daily Futures