Swiss Industrial Production q/q

Quarterly Swiss industrial production came in at 6.4%; better than its survey of 5.1% and prior reading of 3.4%, but the market had a very limited reaction.

Swiss Trade Balance

Swiss Trade Surplus came in at 1.29B, less than the 2.37B expected and prior reading of 2.42B.

No major market reaction as Eur/Chf trades at 1.4460 andUsd/Chf at 1.0578.

Greece may seek IMF aid, Dow Jones reports

  Greek Prime Minister Papandreou may seek aid from the IMF over Easter weekend as a rift between Germany and Greece is gaining strength. The Prime Minister seems to be preparing for the worst as he fears EU members are likely side with Germany regarding aid to Greece.

Euro has fallen across the board on this news.

Eur/Usd has made a new low of 1.3669 and Eur/Jpy 123.19, and both still seemed offered at moment.

Japan’s BSI Manufacturing

Japan’s BSI All Industry Index came in down -2.4% quarter over quarter for the 1st quarter of 2010, while the Large Manufacturing Index came in up 4.3% quarter over quarter, however much less than the prior rise of 13.2%. Although the USD/JPY pair has maintained a bid in March, it has not been unable to break the 91 handle. A move toward that level would intersect with trendline resistance and a break could lead through the 200 day moving average and toward 2010 (calendar) highs. It is also noteworthy that the pair has found support recently at the intertwined 21 day and 100 day moving averages.

Forex Midday Report - March 17

Forex Morning Report - March 17

PPI lower than expected, but better Canada data again.

CPI Headline: -0.6% vs -0.2%
Ex Food and Energy +0.1% which was as expected.
YoY 4.4% vs 4.9% expected
YoY Ex Food and Energy a small 1.0% which is as expected.

The Fed is not concerned about inflation. Capacity is still low and this is not the environment for increasing prices on any level.

Meanwhile the Canadian Wholesale Sales rose by a greater than expected 3% vs 0.5% increase (fastest pace in 3 years) .  The level of inventories also declined by 1.1% which brings the inventory to sales ration down to 1.19 frm 1.24.  This also suggests further growth down the road as inventories are replenished.

The USDCAD has support below at 1.0100 area.  A break looks toward 1.0077 and below that the lure of the 1.0000 should take hold.

Bobbys Corner-Open Market-March.17.2010

Good Morning:

The USD and JPY fell in overnight trading.  Both the BOJ and FED made comments to keep interest rates at near zero to keep their economies from falling back into recession.  Investors moved their money to the equity markets and higher-yielding currencies.
The GBP is recovering, as data released this morning shows that U.K. residents receiving unemployment benefits dropped.  The GBP has lost steam since 2010 started as concerns that the U.K. will not get a majority in parliamentary elections this spring.   This majority will be needed to address their budget deficit, and to propose additional measures to shore up their economy.

World equity markets are higher, and US Futures are pointing to a higher opening this morning.

Commodities are also higher this morning.

Oil:$80.79                                 Gold:$1129.40

HAVE A GREAT DAY &  GOOD LUCK