Originally published by the Voice of America (www.voanews.com).
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October 16, 2008

US Investors Hopeful as Inflation Unchanged
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http://enews.voanews.com/t?ctl=1EC1A10:A6F02AD83191E160E9878B2F7BEC2F9598CBE7246176B735&
 
Stock futures move higher as Labor Department report shows inflation
flat, claims for unemployment benefits decline 
Sale signs in a Pasadena, California store front (Oct 2008 file
photo)U.S. stock futures are moving higher, investors encouraged by
government reports showing that inflation remained flat in September and
that initial claims for unemployment benefits fell. The U.S. Labor
Department said Thursday that consumer prices were unchanged in
September due in large part to falling energy costs. Officials say,
excluding food and energy, prices gained just one-tenth of one percent.
A second Labor Department report said the number of Americans filing
jobless claims dropped last week. But officials say the total number of
Americans continuing to ask for unemployment benefits rose to more than
3.7 million, the highest it has been in five years. Europe's key markets
in London, Frankfurt and France had been down more than five percent at
the start of their trading sessions, but pared their losses after the
U.S. reports were released. Other recent economic data, combined with
ongoing concerns about the global financial crisis, has many investors
worried that a global recession may be inevitable. Earlier, those fears
sent Japan's Nikkei down more than 11 percent, the worst loss for the
index in two decades. Share prices in South Korea were nearly 10 percent
lower , while the Hang Seng in Hong Kong lost nearly five percent at the
close. White House officials said Wednesday that leaders of the Group of
Eight industrialized nations (including the United States, Japan,
Germany, France, Britain, Italy, Canada, and Russia) would work to
strengthen financial institutions and restore confidence.

Some information for this report was provided by AFP, AP, Bloomberg and
Reuters.


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