Numerous Markets Still Shut

April 5, 2010

The dollar is narrowly mixed, with gains of 0.2% against the euro and Swiss franc and declines of 0.5% against the Canadian dollar, 0.3% versus the kiwi, 0.2% relative to the yen and sterling and 0.1% against the Australian dollar.

Most European centers remain closed for Easter Monday.  So are Australia, New Zealand and parts of Canada.  Several Asian markets are shut for the Ching Ming Festival holiday.

Stocks rose 2.0% in Indonesia, 1.4% in India, 0.9% in Sri Lanka, 0.5% in Japan, Thailand, and Pakistan, and 0.4% in Malaysia.  No trading in China, Taiwan, Hong Kong, New Zealand, Australia or Europe.

The 1.39% yield on ten-year JGBs is 3 basis points higher.

Precious metal prices like gold ($1126.10 per ounce) are trading very firmly.  Oil is above $85.00 per barrel.

Japan’s PMI-services index improved sharply to 48.3 in March from 44.6 in February and 43.2.  Business expectations moved to an above-50 reading of 41.5.  Orders (49.2) advanced 3.8 points to 49.2.  The composite PMI score of 50.3 also exceeded 50, doing so for the first time in 7 months.

Turkish consumer prices rose 0.6% last month and by 9.6% from March 2009.  The PPI leaped 1.9% and recorded a 12-month advance of 8.6%.

Russia’s PMI services index improved 2.6 points to 53.6 but remained below its long-term average reading of 56.7.

There was a 7.2 earthquake in Mexico’s Baja peninsula.

The U.S. Treasury will delay the release of its semi-annual currency report, scheduled originally for April 15, in order to give China more time to implement a flexible yuan policy and thus avoid being labeled a currency manipulator.  Congressional leaders behind a movement to impose barriers on imports of Chinese goods are very disappointed but not surprised.

The United States will report pending home sales and the service-sector PMI reading today.

Copyright Larry Greenberg 2010.  All rights reserved.  No secondary distribution without express permission.


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