Pre-open Europe

• General mood is “risk off”
• Little data and few speakers in Europe
• Euro-zone Trade Balance due, expected: E12.5bln
• Canadian Manufacturing and Wholesale Sales also due

What’s Moving
A very quiet session in Asia today, which is typical for a Monday at this time of the year.
Pretty much everything is holding a tight range and local players in Asia mentioned they are awaiting fresh incentives from offshore (European and U.S. trading). We suspect these incentives will not come from Europe tonight, with little of interest on the release docket.
With last week being the week of general USD strength, we are expecting some profit taking on USD longs in the early part of this week, with eyes remaining trimmed on any inflationary indicators.