• German February trade surplus 12.1 bln, better than median forecast of 11.2 bln. Exports +9.6% y/y. imports +4.2% y/y
  • ECB’s Trichet: Not possible to enter and leave euro zone as if getting on and off a bus
  • German FinMin spokesman: No one should doubt that euro zone, IMF, would rescue Greece if needed. Believes Greece will be able to reach goals on it’s own
  • Greek FinMin: Will not ask for activation of aid mechanism. Aid mechanism being specified currently
  • Greek civil servants to strike April 22 against austerity measures
  • EU Commission: Euro is stable, strong currency. Nothing to worry about on euro. Interest rates for Greece will be worked out at appropriate time
  • John Lewis weekly department store sales up hefty 30%
  • Bank of France industry business sentiment index rises to 103 in March from 102 in February
  • France February industry output flat m/m, as expected. January data revised down to +1.1% m/m from initial +1.6%
  • China March car sales up hefty 63.2% y/y to 1.26 mln units after 55.3% in February
  • UK’s Cameron: Says 12 billion pounds of efficiency savings can be achieved this year. Just leave public sector job vacancies unfilled
  • UK March output prices +0.9% m/m, +5.0%, stronger than median forecasts +0.4%, +4.4% respectively. Highest y/y rate since November 2008 Input prices +3.6% m/m, +10.1% y/y, much much stronger than median forecasts +1.2%, +7.1% respectively. Highest y/y rate since February 2009
  • BRIC leaders to discuss possibility of using IMF SDRs as global currency – Kremlin econ aide
  • Canadian March employment +17.9k, weaker than median forecast +25K. Unemployment rate 8.2%, as expected

General risk sentiment in good shape today, European stocks up, oil up, gold up. Against this backdrop USD and JPY have given ground on the majors. Canadian loonie is something of an exception having gotten hit after disappointing jobs data.

EUR/USD started around 1.3360 and slowly ground higher. Better than expected German trade data gave an early filip. Stops were eventually tripped on move through 1.3400 on way to session high 1.3418. Sources reported “decent sell interest” from “interesting names” up at 1.3420/30 and thats proven barrier to upside so far. Lots of comments regarding Greece, but get feeling market is sick and tired of hearing about it.

Cable started around 1.5275 and popped above 1.5300 early only to get repelled by well-touted sell orders in 1.5300/10 area. The setback proved temporary and soon stops were tripped through 1.5320 accelerating the upside move. A high profile US investment bank (yes that one) was reportedly a very strong buyer of cable this morning.

A major German bank joined the party buying strongly and stronger than expected PPI data (see above) got us to session high 1.5391 before slight retracement. We sit presently at 1.5375. More stops touted above 1.5400.

USD/JPY sits at 93.70, up about 15 points on the day. The yen as mentioned above has been underminned somewhat by generally better risk profile. EUR/JPY is up at 125.45 from early 124.95 having been as high as 125.79 after stops were tripped through 125.50.

AUD/USD up at .9315 from early .9280, barrier option interest at .9300 finally giving out as traders embraced risk.

As mentioned canadian loonie has posted losses in wake of disappointing jobs report. USD/CAD presently up at 1.0055 from early 1.0015.