Themes 

• General mood is “risk off” 
• Japanese PPI higher than expected at 8.6% from 8.2% talk  

• All eyes on tonight’s U.S. CPI and Initial Claims numbers  

What’s Moving  

Japanese CPI had little impact on the Yen today and currency markets in Asia maintained the recent quiet status quo. This comes after a lack of recent offshore trading incentives and ahead of tonight’s key U.S. data, which should help to provide some near-term direction.  

Gold did rise in Asian dealings, while oil is also holding slightly above overnight lows.  

Data and events tonight see:  

• BoE Governor Bailey speaking  
• U.S. CPI (E: +0.4%)  
• U.S. Core CPI (E: +0.5%)  

• U.S. Initial Claims (E: 227k)