Overnight, Asia was up almost 1%.  Europe is also up.  Futures indicate our market will be up about 150 points at the open.

The primary reason is that Merkel and Sarkozy “promised” that they will detail a plan to re-capitalize European banks and will resolve the problem with Greece by the time the G-20 meets in Cannes on November 3rd.  They did this to end the perception that they were clueless as to the seriousness of this financial crisis.  Their announcement was enough to turn worldwde markets up.

The surprise to me is that the markets are not up even more, suggesting the market does not really believe that the well-intentioned leaders of Europe can actually do as they promised.  If they do, the market will have many more good days.  Pray for them!