Key market drivers today are Empire Manufacturing and Industrial Production. We expect both to surprise positively, so our stance is a “buy on dips” today.
What's going on?
· Credit spreads are continuing to narrow and the VIX is pushing for new lows. Corporate CDS prices are also lower and the S&P500 is making new highs.
· Key market drivers today are Empire Manufacturing and Industrial Production. We expect both to surprise positively, so our stance is a “buy on dips” today.
· China’s Wen doesn’t believe that Renminbi is undervalued. USDCNY forwards rose and commodities fell.
Calendar
|
Economic Data Releases |
|
|
Country |
Time (GMT) |
Name |
Saxo |
Consensus |
Prior |
|
US |
12:30 |
Empire Manufacturing (MAR) |
|
22.00 |
24.91 |
|
US |
13:00 |
Net Long-term TIC Flows |
|
$47.5B |
$63.3B |
|
US |
13:15 |
Industrial Prod. / Capacity Util. MoM (FEB) |
0.3% / 72.7% |
0.0% / 72.5% |
0.9% / 72.6% |
|
FX |
Daily stance |
Comment |
|
EURUSD |
0/+ |
We buy around current prices 1.3735, looking for 1.3800 stop at 1.372. |
|
USDJPY |
0/+ |
Stay long; we continue to buy dips down to 0.9038 looking for more upside. |
|
EURJPY |
0/+ |
Strong uptrend momentum. Stay long, buying dips looking for 125.70 to print. |
|
GBPUSD |
0/- |
Stay short. We are looking to add to position, sell break below 1.5140 back to 1.5120. Stop 1.5200. |
|
AUDUSD |
0 |
Unable to break 0.9200 for more upside this morning, we see it ranging now 0.9140-0.9190.
|