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Welcome to the final trading day of October.

Here are 4 tips for today's trading. This will help you decide where you should invest and what to look for:

 

1. Stock market overview

 

U.S. futures are solid ahead of the open, indicating stocks may edge higher when the trading bell rings.

European markets are mostly positive in early trading, though the gains are small.

Asian markets generally closed the week with some losses. China's announcement that it would abolish its "one-child" policy didn't give the markets a lift. The change isn't expected to help China's faltering economy for years.

 


2. Market movers

 

First Solar, Expedia, Genworth: Investors in First Solar (FSLR) are in for a treat after the solar panel manufacturer released better-than-expected earnings on Thursday evening. Shares are rising by about 11% premarket.

Expedia (EXPE) stock is also rising by about 6% in extended trading after the travel website company unveiled earnings that beat Wall Street forecasts.

But investors were unimpressed with the latest quarterly report from financial services company Genworth (GNW). Shares dropped by about 11% in extended trading.

 


3. Earnings

 

Noteworthy companies reporting this morning include Exxon Mobil (XOM), Phillips 66 (PSX), CVS Health (CVS) and Chevron (CVX)

Beer brewing giant Anheuser-Busch InBev (AHBIF) is also posting quarterly results and could provide an update about its planned takeover of SABMiller (SBMRY).

 


4. Economics

 

Japan's central bank decided to hold its fire on more economic stimulus after a policy meeting wrapped up Friday. Some experts had expected the government to act, as the latest figures showed the economy shrank by 0.3% in the second quarter.

In the U.S., the Bureau of Economic Analysis will post its September report on personal income and spending at 8:30 a.m. ET.

The University of Michigan will give a final update to October's consumer sentiment index at 10 a.m.

 

 

 

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What is it? It's a leading indicator of consumer inflation - when businesses pay more for labor the higher costs are usually passed on to the consumer.

When? At 8:30am Eastern Time.

Trading Tip: If the actual number is higher than the forecast, you can expect the USD to rise.

 

 

 

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What is it? It's the broadest measure of economic activity and the primary gauge of the economy's health.

When? At 8:30am Eastern Time.

Trading Tip: If the actual number is higher than the forecast, you can expect the CAD to rise.

 

 

 

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1. Wall Street was lower on Thursday as investors digested weaker-than-expected U.S. economic growth in the third quarter and the Federal Reserve's hints of a possible rate hike in December.

 

The Fed, which kept rates unchanged at its policy meeting that ended Wednesday, downplayed concerns about global growth and indicated confidence in the U.S. job market's recovery and the economy's capacity to absorb a rate increase.

Data on Thursday underscored the strength in the labor market, showing that new applications for unemployment benefits remained near levels last seen in 1973.

2. Contracts to buy previously owned U.S. homes fell unexpectedly in September, a warning sign that the housing market recovery may be stumbling.

The National Association of Realtors said on Thursday its Pending Home Sales Index, based on contracts signed last month, dropped 2.3 percent to 106.8, the second lowest reading of 2015. The index was up 3.0 percent from the same month a year ago.

Economists polled by Reuters had forecast pending home sales rising 1.0 percent last month.

3. The dollar trimmed losses against the other major currencies on Thursday, after data showed that the U.S. economy grew less than expected in the third quarter, as hopes for a U.S. rate hike before the end of the year continued to support

The dollar was lower against the yen, with USD/JPY down 0.16% at 120.89.

The Commerce Department said U.S. gross domestic product grew at an annual rate of 1.5% in the three months to September, missing expectations for growth of 1.6%. The U.S. economy grew 3.9% in the previous quarter.

Separately, the U.S. Department of Labor said the number of individuals filing for initial jobless benefits in the week ending October 24 increased by 1,000 to 260,000 from the previous week’s total of 259,000. Analysts had expected jobless claims to rise by 4,000 to 263,000.

4. Gold prices plunged sharply to a more than two-week low on Thursday, after data showed the U.S. economy grew mostly in line with expectations in the third quarter and as the Federal Reserve signaled that a December rate hike was still on the table.

Gold for December delivery on the Comex division of the New York Mercantile Exchange tumbled $22.10, or 1.88%, to trade at $1,154.00 a troy ounce during U.S. morning hours. It earlier fell to $1,152.40, the lowest since October 9.

5. Natural gas futures pushed higher to move further away from the lowest level in more than three years on Thursday after data showed natural gas supplies rose less than expected last week.

 

Natural gas for delivery in December on the New York Mercantile Exchange soared 7.1 cents, or 3.07%, to trade at $2.369 per million British thermal units during U.S. morning hours. Prices were at around $2.347 prior to the release of the supply data.

 

 

 

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The US economy grew slower than expected in the third quarter.

The advance estimate of gross domestic product (GDP), (the value of all goods and services produced) was 1.5%, while economists had estimated that it would grow by 1.6% in Q3.

Personal consumption grew 3.2%, just below the forecast for 3.3%.

The Department of Commerce said in its release, "The increase in real GDP in the third quarter primarily reflected positive contributions from personal consumption expenditures (PCE), state and local government spending, nonresidential fixed investment, exports, and residential fixed investment that were partly offset by negative contributions from private inventory investment."

In the last few weeks, economists steadily lowered their estimates for growth for the quarter and the full year. Estimates were raised again on Wednesday, after the advance goods trade balance showed that the deficit shrank to $58.6 billion from $66.6 billion.

The economy has faced some strong headwinds this year, including a sharp rise in the dollar, weaker-than-expected global growth and sharp cuts in oil sector investment.

Global shocks are having a big negative impact on the industrial sector (which includes resource extraction, utilities, and the production of manufactured goods). Although this sector only accounts for a shrinking, 16% share of GDP, the data have been weak enough to slow the overall economy.

 

 

 

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It's another trading day in the middle of earnings season, and there's plenty to watch for.

Wall Street is also getting excited about talk of more Merger and Acquisition (M&A) in the pharmaceutical sector.

Here are 4 tips for today's trading. This will help you decide where you should invest and what to look for:

 

1. Takeover talk

 

Shares in Allergan (AGN) are rising by about 10% premarket based on reports that Pfizer (PFE) is talking with the Botox-maker about a potential takeover bid. Reports in the Financial Times and Wall Street Journal cite unnamed sources. In an emailed statement to CNNMoney, Pfizer said "it does not comment on market rumor and speculation."

Allergan did not immediately respond to requests for comment.

Earlier this year, Allergan combined with Actavis. The group has a market value of well over $110 billion.

Pfizer has a market value around $220 billion.

 


2. Earnings

 

It's another busy morning for earnings, with reports from Sony (SNE), Nokia (NOK), Aetna (AET), Time Warner Cable (TWC) and MasterCard (MA) coming through before the opening bell.

Afternoon reports include Expedia (EXPE), LinkedIn (LNKD, Tech30) and Starbucks (SBUX).

 


3. Stock market movers

 

Banks, PayPal, Hanes: Shares in Deutsche Bank (DB) are falling by 3% in Germany after the firm reported a massive 6 billion euro ($6.6 billion) loss in the third quarter and announced plans to shed 35,000 jobs.

Shares in the British bank Barclays (BCS) are also declining by about 5% in London after reporting disappointing quarterly results.

PayPal (PYPL, Tech30) stock is dropping by about 6% premarket as Wall Street expresses disappointment over the company's latest earnings results.

Hanes (HBI) stock could shoot up by over 10% at the open after the company beat earnings expectations.

 


4. Economics

 

A few important economic reports will be coming through Thursday.

The U.S. Bureau of Economic Analysis is releasing an estimate for gross domestic product growth in the third quarter at 8:30 a.m. ET. In the second quarter, GDP growth reached 3.9%, up from a weak first quarter of 0.6% growth.

At the same time, the U.S. Department of Labor will release weekly jobless claims.

At 10 a.m. the National Association of Realtors is set to give an update on pending home sales from September.

And then government data on natural gas inventories will be released at 10:30 a.m.

 

 

 

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