• Nobel Prize-winning economist Joseph Stiglitz: US toxic assets plan “very badly flawed”
• Russian Fin Min Kudrin: Recent rise in stockmarkets, oil prices likely temporary. Expects second wave of problems in financial sector
• Euro-zone March flash PMI services 40.1, manufacturing 34.0 (slightly stronger than median forecasts of 39.2 and 33.4 respectively) But PMI employment index falls to 40.3 from 40.8 in February, new record low as firms slash jobs
• ECB’s Liikanen: ECB has additional room for manoeuvre in all key policy rates. Regarding non-standard measures (quatitative ease) should keep all options open
• UK February CPI +0.9% m/m, +3.25 y/y. Much stronger than expected (vs median forecasts of +0.3% and +2.6% respectively)
• BOEs King: Sterling may be behind CPI rise
• The JPY and USD having started out in Europe on a weaker footing as risk appetite ratcheted higher, have made back ground as European stocks and S&P futures decline. The greatly improved sentiment seen yesterday in the wake of the US toxic asset plan announcement seems to have given way to a slightly more considered approach.