The week started slow enough with the Columbus Day holiday and picked up steam on the backs of solid earnings reports from Intel, Google, and JP Morgan.

Thursday brought some consternation as the 30-year bond auction came in with a yield of 3.852% well above estimates as foreign buyers apparently stayed home.

Overseas, the Yen fell to fresh lows and Thailand established some curbs to assist exporters and try to stem the flow of hot money into the country without damaging FDI.

China raised the reserve requirement by 50 basis points to try to cool down lending and better manage economic growth.

China’s foreign reserves also soared to 2.648 billion in the 3rd Quarter.

The Bank of Korea held interest rates steady at 2.25% amidst an 8% surge in the Won against the dollar in the past three months amidst faltering exports and inflation.

Policy makers in India stated that they are considering different options aimed at defending the rapidly appreciating Rupee.

Markets sold off on Friday as Ben Bernanke confirmed everyone’s rumors that the Federal Reserve is looking to purchase more US Treasury bonds but is unsure at this time as to the size of the program.

Next Week

Monday – Industrial Production and Capacity Utilization in the US

Tuesday – Reserve Bank of Australia minutes, ECOFIN meeting, Bank of Canada rate announcement

Wednesday – Bank of England minutes

Thursday – China 3rd Quarter GDP,

Friday – Hoenig speaks (noteworthy in that he has been against keeping rates low)

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