Themes

· General mood is “risk off”

· Japanese Trade Balance worse than expected at -0.9Tln

· Intervention by the BoJ in the JGB market cooled the heels of USD/JPY

What’s Moving

A quiet start to the Asian session turned into an interesting late morning, with the BoJ announcing another unlimited purchase o JGBs to try and get the Yen under control after it hit a 20-year low overnight.

Th AUD benefited from continued Yen weakness, while the Euro also caught a small bid in early afternoon trade. The USD/CHF has been pretty much shadowing movements on the USD/JPY all day.

There is a little data in Europe tonight, although expect European players to wait for the New York open before the market really starts moving.

Data tonight sees:

· German PPI (E: +2.7%)

· Euro-zone Industrial Production (E: +0.8%)

· Euro-zone Trade (E: -6.5bln)

· Canadian CPI (E: +0.9%)

· U.S. Existing Home Sales (E: 78mln)