Good morning. I got back late last night so just a brief post with the FTSE levels to look for. Will be back to the full posts on Monday.
Its non Farm payrolls out of the US later (13:30 UK time) so expect volatility then.
Asia Overnight from Bloomberg
Asian stocks rose, with the regional index heading for a fourth weekly increase, as bond risk fell to the lowest in 11 weeks before U.S. jobs data today. Corn jumped to a six-month high and Indonesia’s rupiah gained.
The MSCI Asia Pacific Index added 0.5 percent by 3:19 p.m. in Tokyo, extending a global rally that added $523 billion to equities this week through yesterday.Japan’s Topix index climbed 0.7 percent and Hong Kong shares fluctuated.Standard & Poor’s 500 Index (SPX)futures rose 0.1 percent and Australian bond yields rose the most in two weeks. The rupiah strengthened to the highest since November. Corn gained amid concern supplies may be disrupted by tensions over Russia’s actions in Ukraine.
Global stocks are trading at their most expensive level this year, with MSCI’s gauge of world equities up 0.7 percent in a fifth week of gains, as concern eases that Russia’s incursion into Ukraine will spark a broader conflict. Economists project payrolls data will show hiring rose last month to a level below last year’s average amid frigid weather.China’s onshore bond market had its first default today as the country’s top lawmakers hold their annual policy-setting meeting in Beijing.
“We have a temporary relief as the situation in Ukraine seems to be contained so the markets are unwinding risk premiums,” said Wee-Khoon Chong, Singapore-based head of rates strategy Asia ex-Japan at Nomura Holdings Inc., Japan’s largest brokerage. “In the U.S., most bad data seems to be related to bad weather, implying the outlook remains relatively good. We don’t think China’s first onshore default will have a systemic financial risk. It might boost market confidence because allowing a default could be seen a part of reforms.”
Non-farm payrolls in the U.S. probably increased by 149,000 workers in February while the unemployment rate held at 6.6 percent, according to the median of economists’ estimates compiled by Bloomberg. Payrolls climbed by a monthly average of 193,500 in 2013. Data yesterday showed claims for unemployment benefits fell to a three-month low last week, stoking speculation U.S. companies are confident economic growth will rebound after harsh winter weather depressed demand.
FTSE Levels to watch today:
- Daily pivot at 6788
Possible long at 6740 today, stop 6728 – off the bottom of the Bianca 20 day Channel, but only if 6770 breaks.