>>> ECB chief Draghi expected to signal this week that he is ready to launch ano

ECB chief Draghi expected to signal this week that he is ready to launch another wave of monetary stimulus to boost the euro zone economy - financial press 
- Analysts expect the ECB to keep rates on hold, but think it will signal another phase of quantitative easing, or QE2, before the end of the year

--> ECB meets on Thursday, Oct 22nd in Malta 

>>> Asian Update

Asian Mid-session Update: China GDP tops consensus but still slows to 6-year lows


***Economic Data***
- (CN) CHINA Q3 GDP Q/Q: 1.8% V 1.8%E; Y/Y: 6.9% (6-year low) V 6.8%E; YTD: 6.9% V 6.9%E
- (CN) CHINA SEPT YTD FIXED URBAN ASSETS Y/Y: 10.3% V 10.8%E; multi-year low
- (CN) CHINA SEPT RETAIL SALES Y/Y: 10.9% V 10.8%E; 8-month high
- (CN) CHINA SEPT INDUSTRIAL PRODUCTION Y/Y: 5.7% V 6.0%E (6-month low); YTD: 6.2% V 6.3%E
- (CN) China National Energy Administration (NEA): China Sept power consumption 456.3B Kwh, -0.2% y/y v +1.9% prior
- (NZ) NEW ZEALAND SEPT PERFORMANCE SERVICES INDEX: 59.3 V 58.5 PRIOR; Highest since Nov 2007
- (UK) UK OCT RIGHTMOVE HOUSE PRICES M/M: 0.6% v 0.9% PRIOR, Y/Y 5.6% (3-month low) v 6.4% PRIOR

***Index Snapshot (as of 02:30 GMT)***
- Nikkei225 -0.6%, S&P/ASX +0.2%, Kospi -0.1%, Shanghai Composite +0.9%, Hang Seng flat, Dec S&P500 -0.2% at 2,021

***Commodities/Fixed Income***
- Dec gold -0.9% at $1,172/oz, Dec crude oil -0.3% at $47.58/brl, Dec copper -0.5% at $2.39/lb
- USD/CNY: (CN) PBoC sets yuan mid point at 6.3527 v 6.3436 prior setting; weakest Yuan setting since Sept 30th
- (CN) China MOF sells 30-yr bonds, avg yield 3.74%
- (KR) South Korea sells KRW800B in 10-yr govt bonds, avg yield 2.105%
- (JP) BOJ offers to buy ¥400B in 1-3yr JGBs, ¥400B in 3-5yr JGBs, ¥400B in 5-10yr JGBs

***Market Focal Points/FX***
- Shanghai Composite is leading regional indices after a mixed set of economic data out of China. Q3 GDP was the most critical figure, marginally beating expectations at 6.9%, and the markets responded positively even though this rate of growth is the lowest in 6 years. AUD/USD jumped about 40pips above 0.7280 in the wake of the data, NZD/USD rallied some 25pips above 0.6810, and USD/JPY was up over 40pips above 119.60.

- Additional economic datapoints for September are giving investors less reason for optimism, and in the eyes of some analysts, are showing sufficient divergence to question the accuracy of the GDP print. Fixed asset investment growth printed a new multi-year low, as property investment slowed and property construction remained in the red. New home sales value growth also slowed to 18.2% from 18.7%. Industrial output data were similarly downbeat, coming in at a 6-month low of 5.7%. Power generation and steel output were down y/y, while oil production growth slowed to 2.7% from 3.6%. China Stats Bureau (NBS) spokesperson Sheng spoke after the release, stating the economy is still faced with downward pressure and also pointing to global weakness resulting in large pressure on export space. Looking ahead however, Sheng said the economy would maintain stable growth in Q4 and 2016. Note that going into the release, premier Li stated it would not be easy for China to achieve 7% (target) GDP, but that it was acceptable for growth to be a little higher or lower than 7% as long as employment remains adequate and incomes continue growing. Separately, a researcher with NDRC said China must boost infrastructure investment to help stabilise growth.

- Outside of Chinese economic figures, BOJ Gov Kuroda spoke at a quarterly meeting of the central bank's regional branch managers. Kuroda largely reiterated some of the most recent BOJ talking points, stating the economy is recovering moderately, emerging market slowdown is evident in exports and output, and also anticipating inflation to remain around zero for the time being.

***Equities***
Notable movers by sector:
- Consumer discretionary: Sands China 1928.HK -3.6% (CFO to step down); Tsingtao Brewery Co 168.HK -1.3% (sets up JV with Suntory China); China Southern Airlines 1055.HK +1.5% (exec under investigation); Peak Sports Products Co 1968.HK +1.9% (Q3 result)
- Financials: China Galaxy Securities Co 6881.HK -0.9% (Sept result); China Overseas Land 688.HK -1.7% (Sept result); China Overseas Grand Oceans Group 81.HK +2.0% (Sept result)
- Industrials: Zhuzhou CSR Times Electric Co 3898.HK -6.3% (9-month result); Qingdao TGOOD Electric Co 300001.CN +1.9% (Q3 result); Cardno Ltd CDD.AU +9.2% (Crescent sweetened bid)
- Technology: China Electronics Corp Holdings Co 85.HK+7.8% (possible disposal of unit); Tencent Holdings 700.HK -0.1% (partnership with JD)
- Materials: Arrium ARI.AU +9.5% (Q1 result)
- Energy: S-Oil Corp 010950.KR +1.2% (Q3 result)

>>> Total : Sells 15% interest in Gina Krog Field to Sequa Preoleum for NOK1.4B

Sells 15% interest in Gina Krog Field to Sequa Preoleum for NOK1.4B 

announce that its subsidiary Tellus Petroleum AS ("Tellus") has entered into an agreement with Total E&P Norge AS to purchase interests of 30% in PL 029C, 14.78% in PL 029C and 21.8% in PL 048, representing 15% in the Gina Krog unit on the Norwegian Continental Shelf. The effective date of the transaction is 1st January 2015 and the transaction is subject to normal consent by the Norwegian Authorities. The transaction is planned to be funded through a combination of debt and equity, with completion planned for the end of 2015 contemporaneously with the completion of the Wintershall portfolio transaction, as announced on 18th June 2015.

The proven and probable (2P) reserves in the transaction is some 33 mill. boe net to Tellus as per the official Norwegian Petroleum Directorate data. The field is operated by Statoil (58.7%) and partners are Total (30%), PGNiG (8%) and Det norske (3.3%). The production is expected to commence in mid-2017 ramping up to a plateau of some 10,000 boed net to Tellus. The Plan for Development and Operation ("PDO") was approved in June 2013 and gross capex on Gina Krog is some NOK 32 billion.

In the transaction, it is agreed that Tellus will pay a completion payment of ca NOK 1.4 billion pre-tax based on the latest operator project cost estimates for Total's share in 2015. The seller will retain the tax balances related to the Gina Krog investments prior to the effective date. On signing, Tellus paid a deposit of NOK 50 million to Total. On this basis for the Sequa Petroleum group, the all-in costs until first production for Gina Krog will be 11 USD/boe pre-tax.

This transaction is a positive addition to the portfolio purchase agreement with Wintershall, announced in June. Gina Krog provides the company with a further high quality asset in our core North Sea area, with a production start date between Ivar Aasen and Maria. Once in production, the field will provide cash-flow that will enable further company growth. The deal delivers on Sequa and Tellus's strategy of rapid growth through acquiring high quality material assets that are in production or being moved through development into production.

>>> What to look at today - 19th of Ocotber 2015

Shanghai Composite is leading regional indices after a mixed set of economic data out of China. Q3 GDP was the most critical figure, marginally beating expectations at 6.9%, and the markets responded positively even though this rate of growth is the lowest in 6 years. Additional economic datapoints for September are giving investors less reason for optimism, and in the eyes of some analysts, are showing sufficient divergence to question the accuracy of the GDP print. Fixed asset investment growth printed a new multi-year low, as property investment slowed and property construction remained in the red. Industrial output data were similarly downbeat, coming in at a 6-month low of 5.7%. Power generation and steel output were down y/y, while oil production growth slowed to 2.7% from 3.6%. China Stats Bureau (NBS) spokesperson Sheng spoke after the release, stating the economy is still faced with downward pressure and also pointing to global weakness resulting in large pressure on export space. Looking ahead however, Sheng said the economy would maintain stable growth in Q4 and 2016, Premier Li stated it would not be easy for China to achieve 7% (target) GDP.

Nikkei -0.78% Hang Seng -0.44% Shanghai -0.12%

Eur$ 1.1363 CNY 6.3631 JPY 119.30 GBP 1.5439 BRL 3.9236 RUB$ 61.56 WTI $46.90 (-0.76%)

S&P -0.22% EuroStoxx-0.06% Dax-0.04% SMI-0.28%

Macro :
- Greece Must Complete Bank Recapitalization in 2015, Tsipras Says
- Economists still see Fed rate rise before year end (FT) http://on.ft.com/1Xd3uMd
- Will the US ever raise interest rates again? (FT) http://on.ft.com/1Xd3N9O
- Leader of Qaeda Cell Killed in Airstrike in Syria, Pentagon Says - NYT
- Japan's biggest association of labor unions, Japanese Trade Union Confederation, said to seek a 2% raise as part of annual spring wage negotiations - Nikkei
- The World Hits Its Credit Limit, And The Debt Market Is Starting To Realize That - ZH - http://bit.ly/1Xd6doM
- ECB’s Draghi to Signal Further QE, Analysts Say: Sunday Times

Keep an eye on :
- ABBN VX : ABB Is Planning to Cut Jobs, Schweiz am Sonntag Reports
- ABI BB : Coca-Cola is next target of Anheuser-Busch InBev’s Lemann - IstoE Dinheiro
- AC FP : Accor to Add ~250 Hotels in Asia-Pacific in Next Few Yrs: Times
- ACS SM : ACS Group Reaches Financial Close on M11 Project in Ireland
- AF FP : Hollande: Air France Unions Need to Show Commitment to Dialogue
- AAL LN : Anglo American to Cut 120-140 People From Chile Unit: Mostrador
- AREVA FP : Areva to Sign Accord With Unions on Job Cuts on Oct. 19: AFP
- POP IM : Pop Milano May Want to Accelerate on Merger Options: Corriere
- BARC LN : Barclays pushes to shrink investment bank - http://on.ft.com/1LSKoJh
- BARC LN : Barclays Says It’s Ending Bmarkets Activity in France
- BSLN SW : Basilea Pharmaceutica Files for U.S. IPO Via Cowen, Guggenheim
- CDI FP : Christian Dior 1Q Rev. EU9.05b vs EU7.8b Y/y
- DCG LN : Dairy Crest to become more attractive takeover prospect following regulators’ ok for milk-unit sale this week - Sundfay Tiumes
- BN FP : Danone 3Q LFL Sales Beat Ests., Confirms 2015 Forecast
- DBHN GY : Deutsche Bahn to Cut Jobs, May Sell Arriva Stake, CEO Tells Welt
- DBK GY : Deutsche Bank Announces Plan to Change Organizational Structure
- DBK GY : Deutsche Bank May List Postbank as Early as Spring 2016: Welt
- DWN GYU : Deutsche Wohnen Investors Advised by ISS to Reject LEG Deal
- DGE LN : Diageo May Sell Chalone Vineyard, The Times Says (Earlier)
- EDF FP : EDF in Final Talks With Chinese Partners on U.K. Nuclear Plant http://on.wsj.com/1Xd4XlK
- EDF FP : UK plant deal hinges on ambitions of London, Beijing and EDF
- EMSN SW : EMS-Chemie 9-Month Sales Rise in Local FX
- ENGI FP : Engie Hires Ex-Citi Trader Parasram as Head of Financial Oil
- ERF FP : Eurofins Says It Will Hit 2017 Revenue Target a Year Early
- FCA IM : Ferrari IPO Said to Be Oversubscribed
- HSBA LN : HSBC to Keep London HQ, Times Cites Shareholders, Insiders
- MAERSKB DC : Maersk Plans $3b Investment in Indonesia Over 5 Yrs: Daily
- MEO GY : Metro 4Q Sales In Line With Ests., Sees Good Christmas Results
- OSR GY : Cree Gains Edge at Trial Targeting LEDs; Shares Pare Decline
- PAH3 GY : Porsche’s Winterkorn to Cease as Member, Chairman of Exec. Board
- ROG VX : Roche Gets FDA Approval for Viral Load Tests, Cobas 6800/8800
- SPM IM : Saipem Banks Weigh Refinance Plans Based on Future Ratings: Sole
- SRS IM : Saras Sees Total Ebitda of EU690m in 2016, EU730m in 2019
- SBMO NA : SBM Wins Front-End Engineering, Design Order From Technip
- GLE FP : Soc Gen CEO Says Strategy Doesn’t Include New Retail Mkts: Sole
- SYNN VX : group of Syngenta shareholders plans a public push for a broad strategic review http://on.wsj.com/1Pxpy1I
- TSM US : Lowers 2015 outlook for semiconductor industry to flat from +3% - Press
- TEG GY : TAG Won’t Take Part in Real-Estate M&A Amid High Prices: EamS
- TKA AV : Austria Plans to Sell Remaining Telekom Austria Stake: Kurier, Telekom Austria shareholder OBIB denies exit rumours
- TIT IM : Telecom Italia Reviewed Metroweb Deal With FSI, F2i Funds
- UBSN VX : Swiss Capital Rules to Be ‘Manageable’ for UBS, CS: NZZ
- VISA Europe : Visa Europe Deal May Be Announced as Early as Next Week: FT
- VOW3 GY : VW’s Japanese Sales Seen Falling 30% in Early Oct.: Nikkei
- WIN GY : Wincor May Be Getting Ready for Possible Sale: Manager Magazin ( Frid. Night)
- WIN GY : Diebold in Talks With Wincor Nixdorf on Potential Transaction (Saturday)
- ZEHN SW : Zehnder CEO Berchtold Sees Signs of Better Business in 2016: FuW

>>> Europe : Brokers Upgrades & Downgrades - 19th of October 2015

>>> Up
*SPAREBANK 1 NORD-NORGE RAISED TO BUY AT NORDEA
*VODAFONE RAISED TO OUTPERFORM VS NEUTRAL AT MACQUARIE

>>> Down
*AB FOODS CUT TO HOLD VS BUY AT BERENBERG
*GAZPROM CUT TO SELL VS NEUTRAL AT GOLDMAN
*NOVATEK CUT TO NEUTRAL VS BUY AT GOLDMAN
*REPSOL CUT TO EQUALWEIGHT VS OVERWEIGHT AT MORGAN STANLEY
*SKF CUT TO NEUTRAL AT JPMORGAN
*TELEFONICA CUT TO UNDERPERFORM VS NEUTRAL AT CREDIT SUISSE
*ZURICH INSURANCE CUT TO EQUALWEIGHT VS OVERWEIGHT AT BARCLAYS

>>> PT Change
*ASML PRICE TARGET CUT TO EU85 FROM EU98 AT ING

>>> Initiation


>>> Call
>> Stock
*ROSNEFT REMOVED FROM GOLDMAN CEEMEA FOCUS LIST

>>> Asian Update

Asian Mid-session Update: China GDP tops consensus but still slows to 6-year lows


***Economic Data***
- (CN) CHINA Q3 GDP Q/Q: 1.8% V 1.8%E; Y/Y: 6.9% (6-year low) V 6.8%E; YTD: 6.9% V 6.9%E
- (CN) CHINA SEPT YTD FIXED URBAN ASSETS Y/Y: 10.3% V 10.8%E; multi-year low
- (CN) CHINA SEPT RETAIL SALES Y/Y: 10.9% V 10.8%E; 8-month high
- (CN) CHINA SEPT INDUSTRIAL PRODUCTION Y/Y: 5.7% V 6.0%E (6-month low); YTD: 6.2% V 6.3%E
- (CN) China National Energy Administration (NEA): China Sept power consumption 456.3B Kwh, -0.2% y/y v +1.9% prior
- (NZ) NEW ZEALAND SEPT PERFORMANCE SERVICES INDEX: 59.3 V 58.5 PRIOR; Highest since Nov 2007
- (UK) UK OCT RIGHTMOVE HOUSE PRICES M/M: 0.6% v 0.9% PRIOR, Y/Y 5.6% (3-month low) v 6.4% PRIOR

***Index Snapshot (as of 02:30 GMT)***
- Nikkei225 -0.6%, S&P/ASX +0.2%, Kospi -0.1%, Shanghai Composite +0.9%, Hang Seng flat, Dec S&P500 -0.2% at 2,021

***Commodities/Fixed Income***
- Dec gold -0.9% at $1,172/oz, Dec crude oil -0.3% at $47.58/brl, Dec copper -0.5% at $2.39/lb
- USD/CNY: (CN) PBoC sets yuan mid point at 6.3527 v 6.3436 prior setting; weakest Yuan setting since Sept 30th
- (CN) China MOF sells 30-yr bonds, avg yield 3.74%
- (KR) South Korea sells KRW800B in 10-yr govt bonds, avg yield 2.105%
- (JP) BOJ offers to buy ¥400B in 1-3yr JGBs, ¥400B in 3-5yr JGBs, ¥400B in 5-10yr JGBs

***Market Focal Points/FX***
- Shanghai Composite is leading regional indices after a mixed set of economic data out of China. Q3 GDP was the most critical figure, marginally beating expectations at 6.9%, and the markets responded positively even though this rate of growth is the lowest in 6 years. AUD/USD jumped about 40pips above 0.7280 in the wake of the data, NZD/USD rallied some 25pips above 0.6810, and USD/JPY was up over 40pips above 119.60.

- Additional economic datapoints for September are giving investors less reason for optimism, and in the eyes of some analysts, are showing sufficient divergence to question the accuracy of the GDP print. Fixed asset investment growth printed a new multi-year low, as property investment slowed and property construction remained in the red. New home sales value growth also slowed to 18.2% from 18.7%. Industrial output data were similarly downbeat, coming in at a 6-month low of 5.7%. Power generation and steel output were down y/y, while oil production growth slowed to 2.7% from 3.6%. China Stats Bureau (NBS) spokesperson Sheng spoke after the release, stating the economy is still faced with downward pressure and also pointing to global weakness resulting in large pressure on export space. Looking ahead however, Sheng said the economy would maintain stable growth in Q4 and 2016. Note that going into the release, premier Li stated it would not be easy for China to achieve 7% (target) GDP, but that it was acceptable for growth to be a little higher or lower than 7% as long as employment remains adequate and incomes continue growing. Separately, a researcher with NDRC said China must boost infrastructure investment to help stabilise growth.

- Outside of Chinese economic figures, BOJ Gov Kuroda spoke at a quarterly meeting of the central bank's regional branch managers. Kuroda largely reiterated some of the most recent BOJ talking points, stating the economy is recovering moderately, emerging market slowdown is evident in exports and output, and also anticipating inflation to remain around zero for the time being.

***Equities***
Notable movers by sector:
- Consumer discretionary: Sands China 1928.HK -3.6% (CFO to step down); Tsingtao Brewery Co 168.HK -1.3% (sets up JV with Suntory China); China Southern Airlines 1055.HK +1.5% (exec under investigation); Peak Sports Products Co 1968.HK +1.9% (Q3 result)
- Financials: China Galaxy Securities Co 6881.HK -0.9% (Sept result); China Overseas Land 688.HK -1.7% (Sept result); China Overseas Grand Oceans Group 81.HK +2.0% (Sept result)
- Industrials: Zhuzhou CSR Times Electric Co 3898.HK -6.3% (9-month result); Qingdao TGOOD Electric Co 300001.CN +1.9% (Q3 result); Cardno Ltd CDD.AU +9.2% (Crescent sweetened bid)
- Technology: China Electronics Corp Holdings Co 85.HK+7.8% (possible disposal of unit); Tencent Holdings 700.HK -0.1% (partnership with JD)
- Materials: Arrium ARI.AU +9.5% (Q1 result)
- Energy: S-Oil Corp 010950.KR +1.2% (Q3 result)