The Japanese Nikei soared 3.55% to near 5 year highs in response to Friday’s US job report. In Europe the DAX reached an all time high as industrial orders for March were higher than expected. The head of the European bank helped things by saying they were prepared to cut rates. In fact the Australia’s central bank cut rates to 2.75, an all time low on Tuesday. The overall mood in world markets points to a higher opening on Wall Street as futures are looking favorable after the S & P record breaking day on Monday. As the week progresses investors will be analyzing several important reports out of China including Trade Data, Inflation, Money Supply and Loan Growth to get a better feel for the overall growth of world economy.
In currency news the Australian dollar dropped to a two month low of 1.017 after the rate cut. Oil prices dropped .5% to under $105 a barrel. Seems likely investors were taking profit after the recent surge in oil because of Mideast concerns and confidence in a steady recovery in the US.
Economic Calendar For Today:
7:45 ICSC Retail Store Sales
8:55 Redbook Chain Store Sales
1:00 PM Results of 32B 3 YR Note Auction
3:00 PM Consumer Credit