Analytics, News, and Forecasts for CFD Markets: stock news — 01-10-2012.

European stocks advanced the most in more than three weeks as test results showed the stress to the Spanish banking system was less than estimated and as U.S. manufacturing expanded for the first time in four months. Spain’s banks have a capital deficit of 59.3 billion euros ($76 billion), stress tests conducted by New York-based management consultancy Oliver Wyman showed last weekend. That was less than the 62 billion euros Wyman estimated in June that the lenders would need.

Spain commissioned the stress test as part of terms to obtain a European bailout of as much as 100 billion euros for its banks after more than 180 billion euros of losses linked to real-estate loans. Wyman tested the banks’ ability to handle an extreme scenario -- a three-year economic contraction -- even as the government debated whether to seek a wider rescue package.

Credit Agricole SA rose 7.8 percent after starting talks to sell its unprofitable Greek unit.

International Consolidated Airlines Group SA climbed 3.4 percent after the International Air Transport Association raised its 2012 global airline-profit forecast.

Banco Popular Espanol SA slumped the most in two months after announcing a capital-increase plan.

FTSE 100 5,820.48 +78.41 +1.37%, CAC 40 3,433.6 +78.78 +2.35%, DAX 7,328.14 +111.99 +1.55%

European indices have responded to the growth of the results of stress tests of Spanish banks. The results show that the necessary amount of additional capital for Spanish banks was 59.3 billion euros, which was less than the 100 billion euros that had been previously agreed with the European Union as an aid to the financial sector. Also continues to be influenced by Spain's acceptance of the budget for 2013, which laid the measures to reduce budget expenditures.

The unemployment rate in the euro area in August was 11.4% (forecast 11.4%), this is 18.2 million people, a record high.

Current value:

FTSE 100 5,796.62 +54.55 +0.95%

CAC 40 3,402.12 +47.30 +1.41%

DAX 7,303.64 +87.49 +1.21%

Xstrata shares were up 1.8% as its board has recommended that shareholders vote in favor of, the absorption of $ 33 billion Glencore International Plc. Nokia capitalization decreased by 0.7% after Credit Suisse Group AG downgraded the market.

Asian stocks dropped a second day after Japan’s largest manufacturers became more pessimistic and China’s manufacturing shrank for second month amid a global economic slowdown that has sapped export demand.

China’s purchasing managers’ index signaled for a second month that manufacturing is contracting, the first time that’s happened since 2009.

Japan’s Tankan index of sentiment among large industrial companies fell to minus 3, posting a negative reading for a fourth quarter, the Bank of Japan said today. A number below zero figure means pessimists outnumber optimists.

Nikkei 225 8,796.51   -73.65 -0.83%

S&P/ASX 200 4,388.62      +1.61 +0.04%

Shanghai Composite Closed

Toyota Motor Corp., the world’s biggest carmaker by market value, fell 1.7 percent.

Nippon Shokubai, which supplies a third of the global market for chemicals used in diapers, slumped 13 percent to 757 yen in Tokyo, the most since October 1987, after a fire at its western Japan factory on Sept. 29 led to a death and stopped output.

Among stocks that advanced, Arrium jumped 25 percent to 68 Australian cents. The company rejected an offer from a consortium led by Noble Group and Posco Australia Pty. to buy its shares at 75 Australian cents apiece, saying the offer “undervalues Arrium.”

Asian stocks swung between gains and losses as signs of slowing global economic growth outweighed optimism Spain’s progress on deficit goals will help Europe contain its debt crisis. Asia’s regional benchmark index headed for its biggest monthly advance since June.

Nikkei 225 8,870.16 -79.71 -0.89%

S&P/ASX 200 4,387.02 +2.85 +0.06%

Shanghai Composite 2,086.17 +29.85 +1.45%

Hutchinson Whampoa Ltd., a Hong Kong-based operator ports in Europe, gained 1.2 percent as Spain proposed a fifth austerity budget that may allow it to meet deficit targets agreed to with the euro zone.

Korea Aerospace Industries Ltd. surged 15 percent after Hyundai Heavy Industries Co. made a bid for an $890 million stake in the planemaker.

Machinery-maker SMC Corp. slid 1.2 percent in Tokyo after Japan’s industrial production fell more than estimated.