Risk aversion remains on front burner due to geo-political concerns

Notes/Observations

- Geo-political concerns of potential expanded US involvement in regional hot spots (Korea, Mid-East)

- Focus centered on North Korea as it approaches the key Apr 15th birthday of its founder Kim Il-sung for potential nuclear test

- Market participation non-existent in wake of holidays in Far East, Europe and US

Overnight:

Asia:

- PBoC resumed its open market operations for the 1st time in 13 sessions and injected CNY110B combined in 7, 14, and 28-day reverse repos

Europe:

- France IFOP daily presidential poll: Second round poll: Macron 58.5, Le Pen 41.5% (unchanged)

Americas:

- Canadian Government: introduces legislation to legalize recreational Marijuana; intends to provide regulated, restricted access to Cannabis no later than July 2018

Energy:

- Weekly Baker Hughes US Rig Count: 847 v 839 w/w (+1%)(13th straight weekly rise)

Economic Data

- (CN) China Mar M2 Money Suppy Y/Y: 10.6% v 11.1%e; M1 Money Supply Y/Y: 18.8% v 19.3%e, M0 Money Supply Y/Y: 6.1% v 4.0%e

- (CN) China Mar New Yuan Loans (CNY): 1.020T v 1.200Te

- (CN) China Mar Aggregate Financing (CNY): 2.120T v 1.50Te

Fixed Income Issuance:

- None seen

SPEAKERS/FIXED INCOME/FX/COMMODITIES/ERRATUM

Equities

- Closed for Good Friday holiday

Speakers

- Italy said to be considering a deficit higher than the 1.2% of GDP forecasted in its 2018 budget draft

- Bank of Japan (BOJ) said to be offering a more upbeat view of economy and exports

Currencies

- FX markets were at a standstill with most of Europe closed for Good Friday holiday. The USD still unable to shrugged off recent comments from President Trump on his concern of a too strong of a greenback.

- USD/JPY hovered near its recent 5-month low and again tested its 200-day moving average. The pair holding below the 109 level. The 200-day MA has not be breeched since Trump won the US election back in early Nov.

Looking Ahead

- 07:00 (IL) Israel Mar CPI M/M: 0.1%e v 0.0% prior; Y/Y: 0.7%e v 0.4% prior

- 07:30 (IN) India Weekly Forex Reserves

- 08:00 (PL) Poland Mar M3 Money Supply M/M: 0.8%e v 0.3% prior; Y/Y: 8.6%e v 8.2% prior

- 08:30 (US) Mar CPI M/M: 0.0%e v 0.1% prior; Y/Y: 2.6%e v 2.7% prior

- 08:30 (US) CPI Ex Food and Energy M/M: 0.2%e v 0.2% prior; Y/Y: 2.3%e v 2.2% prior

- 08:30 (US) Mar CPI Index NSA: 244.237e v 243.603 prior; CPI Core Index SA: 251.651e v 251.299 prior

- 08:30 (US) Mar Advance Retail Sales M/M: -0.2%e v +0.1% prior; Retail Sales Ex Auto M/M: 0.1%e v 0.2% prior, Retail Sales Ex Auto and Gas: 0.3%e v 0.2% prior, Retail Sales Control Group: 0.3%e v 0.1% prior

- 08:30 (US) Mar Real Avg Weekly Earnings M/M: No est v -0.3% prior; Real Avg Hourly Earnings Y/Y: No est v 0.0% prior

- 10:00 (US) Feb Business Inventories: 0.3%e v 0.3% prior

- (LU) Luxembourg Sovereign Debt to be rated by Fitch

Weekend

- Sunday (TR) Turkey holds referendum on presidential system