Above forecasts and along with  a much stronger German ZEW  gives the  EUR/USD a spike higher

March  ex-energy, food, alcohol. and tobacco +1.5% m/m, +1.6% y/y..

ZEW April German economic sentiment index has come in at 23.4,  quite a bit better than Reuter’s median forecast of 20.0.

EUR/USD spikes again. Gets as high as 1.3172, presently at 1.3165.

EMU DATA: March HICP rev +2.7% y/y (+2.6%), February +2.7%, January
+2.7% — EMU March HICP y/y above MNI median fcast (+2.6%)
– EMU March ex-energy/food/alc/tobacco HICP +1.6% y/y, February +1.5%
– EMU March ex-energy/unprocessed food HICP +1.9% y/y, February +1.9%
– EMU March ex-energy/seasonal foods HICP +2.0% y/y, February +2.0%
– EMU March ex-energy HICP +2.0% y/y, February +1.9%, January +1.9%
– EMU March garments +17.6% m/m, footwear +13.5%
– EMU March fuels for transport +3.1% m/m, air transport +6.4%
– EMU March clothing accessories +10.5% m/m, other personal effects
+4.5%
– EMU March bread/cereals unch m/m, telecommunications unch
– EMU March cars +0.1% m/m, meat +0.1%
– EMU March rents +0.1% m/m, restaurants/cafs +0.2%
– See MNI MainWire for details

Having been as high as 1.3161 (EBS) 1.3159 (Reuters) just after the Spanish auction results hit the wire, we’re back down at 1.3145 at writing.

Important data looms in form of German ZEW expected 20.0 from last 22.3.

For the 1000 EDT NY cut…

EUR/USD: 1.3000, 1.3090,  1.3125 and 1.3150

GBP/USD: 1.5800 and 1.5815

EUR/GBP: 0.8200 and 0.8250

USD/JPY: 80.50, 80.75, 81.00 and 81.10

USD/CHF: 0.9265

AUD/USD: 1.0200, 1.0220, 1.0285, 1.0300, 1.0310, 1.0400

Sold Eur 2.09 bln of April 19 2013 Letra, yield 2.623 % (from 1.418%), cover 2.9 (from 2.14)

Sold Eur 1.09  bln of October  18 2013 letra, yield 3.110 % ( from 1.711%), cover 3.8  (from 2.93)

Expected high yields, but strong cover and above allocated take up. EUR’s heading higher on the results

UK DATA: Feb House Price Index Up 0.2% m/m; Up 0.3% y/y
————————————————————————
UK house prices saw small nominal gains in February, according to
the House Price Index released by National Statistics Tuesday. The data
showed house prices up a seasonally adjusted 0.2% on the month and up
0.3% on the year in February. This is the first time National Statistics
has published the House Price Index, with the HPI previously under the
aegis of the Department for Communities and Local Government. English
house prices were up 0.4% in the 12 months through February, trailing
Scottish prices rises, of 1.1%. The fall came in Wales and, most
strikingly, Northern Ireland, with the latter seeing a 9.7% decline in
house prices on the year.

–UK Feb House Price Index Up 0.2% m/m; Up 0.3% y/y

LONDON (MNI) – UK house prices saw small nominal gains in February,
according to the House Price Index released by National Statistics
Tuesday.

The data showed house prices up a seasonally adjusted 0.2% on the
month and up 0.3% on the year in February. This is the first time
National Statistics has published the House Price Index, with the HPI
previously under the aegis of the Department for Communities and
Local Government.

English house prices were up 0.4% in the 12 months through
February, trailing Scottish prices rises, of 1.1%. The fall came in
Wales and, most strikingly, Northern Ireland, with the latter seeing a
9.7% decline in house prices on the year.

The clear pattern in the UK housing market is one of very modest
rise in nominal terms, with house prices showing marked declines in real
terms.

–London bureau: email: ukeditorial@marketnews.com

[TOPICS: M$B$$$,MABDS$]

–Mar CPI +0.3% m/m; +3.5% y/y vs Feb 3.4% y/y; Above Median Forecast

LONDON (MNI) – Consumer price inflation rose for the first time in
six months in March boosted by higher prices for food and clothing,
figures released by National Statistics showed Tuesday.

The rise in inflation was unexpected and puts the rate for the
first quarter a little above the latest forecast from the Bank of
England made in February. While inflation should continue to ease over
the coming months some Monetary Policy Committee members have aired
their concerns that inflation won’t ease as quickly as forecast and
these figures add some weight to their view.

Consumer prices rose 0.3% on the month in March and were up 3.5% on
the year, compared with 3.4% in February, the first rise in inflation
since September 2011. The outturn was only marginally above the median
forecast as analysts had predicted a rise of 0.3% on the month but a
3.4% rise on the year.

Today’s figures mean that CPI inflation stood at 3.5% in the first
quarter, a little above the 3.35% central projection in the Bank
of England’s February Inflation Report.

The main upward impact in March came from food and non-alcoholic
drink prices which fell 0.5% on the month this year, compared with a
1.4% fall in the same month a year earlier when supermarkets discounted
heavily. There was upward pressure from fruit, bread and cereals and
meat.

Clothing and footwear also added to the latest rise in inflation
with prices up 2.2% on the month compared with an increase of 1.1% in
March 2011. Recreation and culture also added to inflation.

The main significant downward impact came from electricity and gas
as prices fell in March this year.

Stripping out energy, food, alcoholic beverages and tobacco, core
inflation also ticked up to 2.5% in March from 2.4% in February, the
first rise since October 2011.

The Retail Prices Index rose 0.4% on the month and was up 3.6% on
the year, in line with the median forecast.

Excluding mortgage interest payments, RPIX was up 0.4% on the month
and 3.7% on the year, also in line with the median forecast.

–London bureau: 0044 20 7862 7491; email: puglow@marketnews.com

[TOPICS: MT$$$$,M$B$$$,MABDS$]

UK DATA: Mar CPI +0.3% m/m; +3.5% y/y vs Feb 3.4% y/y
–Above Median Forecast of 0.3% m/m; 3.4% y/y
————————————————————————
Consumer price inflation rose for the first time in five months in
March. The rise in inflation was unexpected and puts the rate for the
first quarter a little above the latest BOE forecast. Consumer prices
rose 0.3% on the month in March and were up 3.5% on the year, compared
with 3.4% in February, the first rise in inflation since September 2011.
The outturn was only marginally above the median forecast as analysts
had actually forecast a rise of 0.3% on the month but a 3.4% rise on the
year. Today’s figures mean that CPI inflation stood at 3.5% in the
first quarter, a little above the 3.35% central projection in the Bank
of England’s February Inflation Report.

Maximum would be 100 bln SEK.

Up in 1.3140/45 area apparently.

We’re presently at 1.3133.

Sell orders 1.3145/55,  buy stops above there.

Spot on expectations , with cable holding steady around 1.5925

RPI +0.4% m/m, +3.6% y/y… lowest y/y since Dec 2009 but as expected.

Good morning all…

EUR/USD: Bids 1.3090/95. Sell stops through 1.3080 and 1.3050. Offers 1.3145/55  buy stops above.

GBP/USD: Bids 1.5820/25 and 1.5800/10, sell stops just below. (Tech level 100 day MA at 1.5903) Offers 1.5930/35 and 1.5965/70

EUR/GBP: Offers 0.8265/70, 0.8275/80, and 0.8295/00 (21 day MA -0.8299) Bids 0.8245/50 and 0.8230/35

USD/JPY:  Offers 80.55/60 and 80.80/85. Bids 80.30 down to 80.00with sell stops below

EUR/JPY: Bids 105.00/10 and 104.60/65, stops below ahead of tech support 104.05/10 (104.06 -100 day MA). Sells stops through 104.00. Offers 105.80/00. Buy stops above through cloud top at 106.15

AUD/USD:  Bids 1.0300/15 (option expiries 1.0300, 1.0310) ahead of the 1.0300 barrier with stops immediately below. Offers 1.0350/55, 1.0360/65 and 1.0375/80 (1.0377 is 200 day MA)

AUD/JPY:  Tech support 82.60/65 (82.64- 100 day MA) ahead of bids 82.50/55, Sell stops just below. Offers 83.35/40, larger up at 83.75/80

NZD/JPY: sell stops through 65.50

USD/CHF:  Offers 0.9180/85, 0.9200/05 and 0.9250/55. Bids 0.9140/45 and 0.9095/05, suggested sell stops through 0.9090.

EUR/CHF:  Bids 1.2015/20 and 1.2000/05, (1.2000 peg and 200 day MA), bids 1.1990/95, sell stops through 1.1985. Offers 1.2030/35, tech res .1.2039 (21 day MA), 1.2057 (55 day MA)

USD/CAD:  Tech supp 0.9960 (21 day MA), offers 1.0030/35 and tech res 1.0040/45

EUR/USD at 1.3128 offered, the ‘sharp guy’ who sold at 1.3140 finally in profit

Ofcourse he’d have been ‘really sharp’ if he’d waited to sell where I mentioned the sell orders clustered, but hey ho away we go, riding on a donkey, donkey!!!

UPDATE:  Getting my sharp muddled with my smart

• More expansive ECB policy ‘desireable’ (you betcha, but don’t go holding ya breath)

EUR/USD has extended rally as far as 1.3141, presently at 1.3135.

Can’t see any particular fundamental news driving this latest move.

As aforementioned,  sell orders seen clustered 1.3145/55, buy stops above there.

Just being told “sharp guy” sold at 1.3140 in recent trade.

I love it when they say “sharp”, “smart” tickles me somewhat.

These euphemisms normallly mean a sovereign player.

Indeed just getting reports a large sovereign has been selling cable in recent trade.  We’re still only marginally off session high there though, presently at 1.5913 from 1.5916 high.

Guess we’ll see just how “smart” the guy actually is in the next hour or so.

PARIS (MNI) – The European Central Bank must do its part to support
economic growth in the Eurozone in exchange for governments’ commitment
to reduce deficits, Nicolas Sarkozy, candidate for re-election as
president of France, argued Tuesday.

“It’s not possible for the central bank not to participate in
supporting growth — like all central banks in the world,” Sarkozy
asserted in a radio interview, citing the US Federal Reserve and the
central banks of Japan and China as examples.

Sarkozy did not go so far to say, as he had hinted at a weekend
rally, that the mandate of the ECB must be modified, conceding that this
could take years without guaranteed results. Nevertheless, “certain
essential questions” concerning its role must be posed, he said.

“Precisely because of [the ECB's] independence, a discussion must
be possible,” Sarkozy said. “The condition of independence is dialogue.”

Long an advocate of a more active role for the ECB in the economy,
notably through an aggressive exchange rate policy, Sarkozy had backed
off from his demands during the delicate negotiations with Germany late
last year over tougher fiscal controls for Eurozone governments.

Foreign exchange rate policy must be a topic of this dialogue,
since the ECB shares responsibility is this sphere with the heads of EMU
governments, the French president said, reviving a classic debate that
has lingered since the inception of monetary union. He welcomed the
recent depreciation of the euro as a gain of competitiveness.

If France wants to “make the ECB move,” it must not give the
impression that it is in order to escape the necessity of fiscal
consolidation, Sarkozy said, reiterating his pledge to bring the
country’s public finances into balance by 2016.

Distinguishing himself from his main campaign adversary, Socialist
candidate Francois Hollande, Sarkozy insisted on the need to tackle the
“massive problem” of labor costs in France and to boost competitiveness
via a “new growth model” based on professional training, innovation,
investment and the reduction of public spending.

–Paris newsroom +331 4271 5540; email: ssandelius@marketnews.com

[TOPICS: M$F$$$,M$X$$$,MGX$$$,MFX$$$]

Presently spread at 382 bps, down from the 391 I last reported and down from the 387 I saw first thing.

European stocks have moved into positive territory as well.

EUR/USD has rallied back to 1.3115 at wrting.

EUR/USD sits at 1.3100.

What’ll we see first 1.3000 or 1.3200.

You know the gig;  reasoning for choice appreciated but not obligatory.

I feel real bad.  Yesterday, while sitting in the corner with his dunce cap on, Joe picked 1.3100 first before 1.2900.  He could have redeemed himself if I hadn’t been so hard-headed

I think this one is particularly tricky.  I’ll be interested to see what he has to say on this one.