Wednesday April 14, 2010 - 04:21:24 GMT
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Morning Briefing : 14-Apr-2010 - 0419 GMT
The US Equities closed higher yesterday. The Dow (11019.42) was up 0.12% and the Nasdaq (2465.99) was up 0.33%. The Dow continues to trade marginally below the Resistance at 11100 and we my see some sideways movement on the Dow before a break on the downside in the coming days.
The Asian Equities are trading mixed today. The Nikkei (11,195.34) is up 0.31%, the Shanghai (3151.841) is down 0.30% and the Hang Seng (22138.75) is up 0.16%. In India, the Sensex (17821.96) was down 0.17% and the Nifty (5322.95) was down 0.31%, yesterday. The Sensex may move in the range of 17700-18000 for the next few days, before a break 17700, targeting 17000 in the coming weeks.
In Australia, the All Ordinaries (5002.600) is up 0.49% and may rise to 5150-200 in th coming weeks.
Crude (84.25) fell and closed lower for the fifth consecutive day. Though it has bounced back from yesterday's low of 82.51, the demand concerns and high US Crude inventories are continuing to keep the price lower. The US Crude inventory data is due today. As mentioned earlier a strong break below 83 might pull it further down to 82-80 in the coming days.
Gold (1154.40) has bounced back from yesterday's low of 1145.40. As mentioned earlier, with immediate Support at 1140-30 region within the broad 1140-00 Support region, the overall picture continue to remain bullish for a rise once again to 1200-25 in the coming days/weeks.
One of the biggest movers today is the Singapore Dollar, which has strengthened to 1.3785, compared to yesterday's levels near 1.3940, on an official revaluation. The Monetary Authority of Singapore has also favoured a "shift the policy band from that of zero appreciation to one of modest and gradual appreciation". The Korean Won (1116) has gained in sympathy, compared to yesterday's levels near 1123.
The Euro (1.3650) has strengthened, in the meanwhile, on good demand for the Greek auction of 6-mth and 12-mth T-bills, and could test 1.37 today. The Aussie (0.9314) has also moved up after dipping to Support at 0.9220 yesterday. Dollar-Yen (93.27) has moved up further today after bouncing from yesterday's low near 92.57. Further upside towards 94-95 possible. The rise in the Nikkei and Euro-Yen (127.35) are factors contributing to the rise in USD-JPY. The Pound (1.5420) has bounced a bit reflecting the US Dollar's weakness against most of the Major currencies. Dollar-Swiss (1.0512) has also come down on Euro strenght. The Swiss Franc might not gain much more immediately, but the Pound looks bullish.
Dollar-Rupee is closed for Ambedkar Jayanti today but might be pressured on the downside tomorrow, given the strength in the Asians.
The 3M USD LIBOR was unchanged at 0.30%. The 2Y yield was up 3 bps to quote at 1.06% while the 10Y yield was down 1 bps to quote at 3.83%.
The Greece's auction of Treasury bills attracted strong demand. The 26-week bills with yield of 4.55% attracted bid 7.67 times more than offered.
09:00 GMT EU Feb IND Prodn (MoM)
...Expected 0.3%...Previous 1.7%
12:30 GMT US Mar Retail Sales
...Expected 1.0%...Previous 0.3%
12:30 GMT US Mar Core CPI (MoM)
...Expected 0.1%...Previous 0.1%
UK Mar Trade Balance
...Actual $ -6.2 Bln...Previous $ -8.0 Bln
US Feb Trade Balance
...Actual $ -39.7 Bln...Previous $ -37.0 Bln
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