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USDJPY gave up the gains after the Bank of Japan left rates unchanged

Tuesday, April 10, 2012 3:12 AM GMT

Good Morning ,

- USDJPY gave up the gains after the Bank of Japan left rates unchanged and
didn't provide any further stimulus to the economy (low 81.27). USDJPY had
a very sharp sell-off of more than 100 points on Friday on disappointing
NFP numbers. EURJPY gave up also the modest gains and couldn't overcome the
March downtrend 106.00 remains key (200 dma 105.93 + fibo level of the Jan-
Mar rally).

- Stocks: Nikkei -0.10 %, Hang Seng -1.16 %, Shanghai Composite -0.91 %,
Dow Jones -1.00 %, S+P500 -1.14 %

- 10y UST is currently returning at 2.04 %. It was trading around 2.20 % before
the release of the disappointing Nonfarm Payrolls on Friday.

- Federal Reserve Chairman Bernanke called on regulators to stem risks from
"shadow banking" operating beyond traditional oversight and favored steps to
promote the "resiliency" of money market funds. "About three and a half years
have passed since the darkest days of the financial crisis, but our economy
is still far from having fully recovered from its effects," Bernanke said in
his only reference to the economy's current condition. He didn't refer to
current monetary policy.

- Spanish Prime Minister Rajoy stepped up efforts to reassure investors he can
bring the country's deficit under control. Rajoy met with his health and
education ministers yesterday to discuss cuts of more than 10 billion euros,
the Spanish government said. The government reiterated its pledge to reduce
the deficit to 3 percent of gross domestic product next year, and will
accelerate its sale of stakes in lenders under government administration,
according to the statement late yesterday.

- The Bank of Japan refrained from expanding monetary easing to counter
deflation, resisting pressure from lawmakers who five days ago rejected a
nominee for the policy board. The central bank kept the key rate between zero
and 0.1 percent in Tokyo today. It left its 30 trillion yen asset-purchase
fund and 35 trillion yen credit-lending program unchanged, in line with the
forecasts of 12 of 13 economists surveyed by Bloomberg News.

- Japan's finance minister said Tuesday that volatility in the yen's exchange
rate has been a little on the large side over recent days, but he indicated
that he is not yet ready to take any action to try to curb the currency's
moves. "I feel that the size of daily fluctuations (in the yen's rate) has
been a bit large, but I will look at the situation further," Jun Azumi said
at a press conference.

- China swung to a surprise trade surplus of $$5.35 billion in March as exports
grew faster than expected and import growth eased from a 13-month peak,
customs data showed on Tuesday.

- China Data Recap                  Period     Survey   Actual     Prior   
* Trade Balance US                    Mar     -3.15b     5.35b     -31.48b
* Exports %yoy                         Mar         7.0        8.9       18.4
* Imports %yoy                         Mar        9.0         5.3       39.6

- Australia Data Recap            Period   Survey    Actual         Prior
* NAB Business Confidence     Mar          -            3               1
* NAB Business Conditions      Mar          -            4              3
* ANZ Job Advertisements       Mar          -           1.0 %        3.3 %

- IMM Positions: EUR -79k vs -89k, JPY -65k vs -68k, GBP -9k vs -11k, CHF -15k
vs -15k, CAD 29k vs 24k, AUD 49k vs 60k, NZD 6k vs 4k

- 1600 US Wholesale Inventories Feb
- 1830 Fed Fisher
- 1845 Fed Lockhart
- 2030 Fed Kocherlakota
- 0800 Germany Trade Balance Feb
- 0830 Banque De France Business Sentiment Mar
- 0845 France Industrial Production Feb
- 0845 France Manufacturing Production Feb
- 1030 Eurozone Sentix Investor Confidence Apr
- 1730 ECB Nowotny + Fin Min Fekter
- 1030 UK DCLG HOuse Prices Feb
- 0745 Switzerland Unemployment Rate Mar
- 1000 Norway CPI Mar
- 1000 Norway PPI Mar
- 0930 Sweden Industrial Production Feb
- 0930 Sweden Industrial Orders Feb
- 1030 Sweden Budget Balance Mar

   (CET)

Have a nice day !

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