The equity markets are relative flat at this moment, with U.S. equity futures slightly down; most likely slight volatility in the markets as the eurozone news of October 27 evolves, and as the next step is to raise 1 trillion euros for the EFSF Rescue Fund for long term needs (as cited in the EU's October 27 proposed sovereign debt agreement). That said, Italy sold 7.93 billion euros of bonds today and attendant to Prime Minister Berlusconi's promise to cut debt.
Good news continues to flow from the U.S. economy, with strong Q3 corporate earnings announcements, and September consumer spending increasing .6% and personal income increasing .1%. Any increase is positive, compared to the alternative.
A long view for investors should consider U.S. debt and deficit funding and restructuring discussions, which are ongoing and closely watched as the federal government will soon need spending extension approval from Congress - interest rates movements are directly related. We are closely monitoring U.S. tax policy as well.
October is shaping up to be the strongest for the equity markets since 1974.