Morning Market Report 11/5/2013

The KUIK Morning Market Report for Tuesday, November 5:
Markets are down.
Index Direction Change Units Last Time Change
Dow Down                   (100) points           15,539 7:00 AM
S&P500 Down -0.58% percent             1,758           (10.18)
Nasdaq Composite Down -0.54% percent             3,915           (21.44)
30 Year Treasury Up                       3 Basis Points               3.72 Annual Yield
Home values are up.  Corelogic reports home prices rose 0.2% in September reaching an annual rate of 12%. National home prices in September are 17.4% below their peak level from 2008, but continue to increase supported by pent-up demand and relatively low inventory. 
The European Commission downgraded the euro-zone GDP forecast for 2014 to 1.1% from the 1.2% expected earlier and raised the unemployment projection to 12.2% from 12.1%. For 2013, the commission expects the economy to contract 0.4% with joblessness at 12.2%, both unchanged from the May forecast. The Commission announced that while the recovery is expected to continue and gather some pace next year, it’s too early to declare the crises over.
Goldman Sachs economist Jan Hatzius put out a research note and the market is paying attention. He nows expect the Federal Reserve will cut its unemployment threshold to 6% from 6.5% at the March 2014 meeting for when the Fed says it may lift interest rates, along with its first taper of the central bank’s $85-billion-a-month bond-buying program. He says that move could come as early as December, lifting chances of an early tapering.
Serving the West Side first, I am Bill Roller of BR Capital for AM 1360 KUIK.
http://www.marketwatch.com/story/annual-home-price-growth-fastest-since-2006-2013-11-05
http://www.marketwatch.com/story/ec-cuts-2014-euro-zone-growth-forecast-2013-11-05
http://blogs.marketwatch.com/capitolreport/2013/11/05/goldmans-hatzius-makes-a-big-fed-call-gets-everyone-excited/
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