Market Update

Further weakening of the USD on disappointing US figures. Bernanke expecting easing inflation.

TICS data showed a big decline in capital inflows for December, Capacity Utilization confirming downtrend since mid-2006. At the same time, E-Z figures have generally been rather strong.

JPY Trade Weigthed Index took a big leap higher after the surprisingly strong GDP figures. Especially GBPJPY looking weak. Japanese 6-month rates edging higher. Remember, what happened in May.

Emerging Markets, stocks and precious metals are in danger, if we see the JPY advancing too fast.

Stocks likely to edge lower today after a strong week.