Risk trades eased back in London as the euphoria on the back of the US Treasury's $1 trillion plan waned. European bourses are flat on average while US stock futures are suggesting a -0.8% correction in early NY trading. Gold has shed another -$9 towards the 929/930 area and the focus remains lower here while below the 950 pivot.

Economic data out of the eurozone was mixed but continued to print on the very weak side. French consumer spending plunged -2.0% in February and this was twice as bad as expected. The eurozone PMI composite index, however, came in a touch better than forecast at 37.6 in March from 36.2 the prior month. EUR/USD was lower nonetheless as risk aversion led the way. The pair was about -100 pips lower in London trading and sitting near the 1.3530/40 zone ahead of the NY open.

Cable continued to extend gains and bullish comments from the BOE's King, who said he sees no reason why the pound should go any lower, helped matters here. GBP/USD pushed about 80 points higher towards 1.4740/50 while EUR/GBP tanked more than -120 pips towards the 0.9180/85 zone. USD/CAD gained back some ground and added 30 pips in the session to 1.2260/70 as crude oil eased back from the near $54/bbl highs.

Upcoming Economic Data Releases (NY Session) prior expected

  • 3/24 14:00 GMT US House Price Index MoM JAN 0.10% -0.90%

  • 3/24 14:00 GMT US Richmond Fed Manufact. Index MAR -51 -51

  • 3/24 14:00 GMT US Bernanke, Geithner Testify to House Panel

  • 3/24 15:30 GMT UK Bank of England's King, Tucker, Dale to Testify

  • 3/24 17:15 GMT SZ SNB's Roth Holds Speech Switzerland

  • 3/24 18:30 GMT UK Bank of England's Blanchflower to Make Speech

  • 3/24 18:35 GMT US Bullard Speaks at Cass Business School

  • 3/24 21:00 GMT US ABC Consumer Confidence 22-Mar -47 - -