Themes

• General mood is “risk off”
• Chinese CPI at +0.9% from +1.0% talk
• Nomura: Expect a 50bp hike at March Fed meeting

What’s Moving

Another quiet session in Asia today, with most local players still digesting recent movements and holding small USD long positions. Local Chinese data had very little impact on trading, with most of the majors holding overnight ranges, while the AUD/USD did test slightly higher.

Nothing concrete out of the Russian / Ukrainian standoff since news overnight that Russia had pulled back a small portion of their force.

There is some key data on tap tonight, but no major data related movements are expected until Friday’s U.S. Initial Claims report. Data tonight sees:

Data tonight sees:

• U.K. CPI (E: +5.4%)
• Euro-zone Industrial Production (E: +0.4%)
• Canadian Retail Sales (E: +2.1%)
• U.S. Retail Sale (Core E: +1.0%; Headline E: +2.1%)
• U.S. Crude Oil Inventories (E: -2.2mln)