Themes

· General mood is “risk off”

· Japanese Core CPI as expected at +0.6%

· B.o.J. leaves Japanese interest rates unchanged, as expected

What’s Moving

A very quiet session in Asia today, wrapping up a week that locally lacked a clearly defined directional impetus. All the majors held within overnight ranges, other than the Kiwi, which did extend down slightly. Oil did manage to catch a light bid and extended slightly higher.

We are expecting position adjustment to dominate trade tonight, with little major of interest on the data and event calendar.

There is some talk that Putin has released his requirements for moving out of the Ukraine, which may prompt some interest tonight, although his four step plan is fairly vague.

Data tonight includes:

· Euro-zone Trade Balance (E: -9.1bln)

· Canadian Retail Sales Headline (E: +2.4%) Core (E: +2.3%)

· U.S. Existing Home Sales (E: 6.10mln)