Economic Data
(JP) JAPAN MAR PRELIM INDUSTRIAL PRODUCTION M/M: 0.2% V 0.4%E; Y/Y: -7.3% V -7.2%E
(JP) JAPAN APR MARKIT/JMMA MANUFACTURING PMI: 51.1 V 50.4 PRIOR (13-month high)
(JP) JAPAN MAR JOBLESS RATE: 4.1% V 4.2%E (4-month low); JOB-TO-APPLICANT RATIO: 0.86 V 0.86E (highest reading in almost five years)
(JP) JAPAN MAR OVERALL HOUSEHOLD SPENDING Y/Y: 5.2% V 1.6%E (multi-year high); M/M: +2.0% v -0.8%e
(JP) JAPAN MAR RETAIL TRADE M/M: -1.4% V -0.8%E; Y/Y: -0.3% V +0.4%E; LARGE RETAILERS' SALES Y/Y: 2.4% V 1.8%E
(JP) JAPAN MAR VEHICLE PRODUCTION Y/Y: -16.4% V -15.1% PRIOR
(KR) SOUTH KOREA MAR INDUSTRIAL PRODUCTION M/M: -2.6% V -0.9%E (3rd consecutive contraction); Y/Y: -3.0% V -0.7%E
(UK) UK APR GFK CONSUMER CONFIDENCE: -27 V -26E (4-month low)
(NZ) NEW ZEALAND APR ANZ BUSINESS CONFIDENCE: 32.3 V 34.6 PRIOR (3-month low); ANZ ACTIVITY OUTLOOK: 30.3 V 32.4 PRIOR
(TW) TAIWAN Q1 PRELIM GDP Y/Y: 1.5% V 3.1%E; Q/Q: -0.8%
(NZ) NEW ZEALAND MAR BUILDING PERMITS M/M: -9.1% V +2.0%E (biggest decline since Sept 2011)
(KR) SOUTH KOREA MAY BUSINESS SURVEY MANUFACTURING: 81 V 80 PRIOR (10-month high); NON-MANUFACTURING: 72 V 71 PRIOR
(KR) SOUTH KOREA MAR CYCLICAL LEADING INDEX CHANGE Y/Y: -0.2% V -0.1% PRIOR
(SG) SINGAPORE MAR MONEY SUPPLY M1 Y/Y: 15.5% V 14.0% PRIOR; Y/Y: 8.5% V 9.7% PRIOR
(SG) SINGAPORE MAR CREDIT CARD BAD DEBTS (S$): 19.9M V 19.3M PRIOR; CREDIT CARD BILLINGS: 3.35B V 2.95B PRIOR; BANK LOANS & ADVANCES Y/Y: 19.7% V 19.6% PRIOR
(SG) SINGAPORE Q1 PRELIMINARY UNEMPLOYMENT RATE: 1.9% V 1.9%E
(NZ) NEW ZEALAND MAR MONEY SUPPLY M3 Y/Y: 7.0% V 6.6% PRIOR
(AU) AUSTRALIA MAR PRIVATE SECTOR CREDIT M/M: 0.2% V 0.3%E; Y/Y: 3.2% V 3.2%E
Markets Snapshot (as of 03:30 GMT)
Nikkei225 -0.4%
S&P/ASX -1.0%
Kospi +1.1%
Shanghai Composite closed
Hang Seng +0.7%
Jun S&P500 -0.1% at 1,587
Jun gold +0.3% at $1,471/oz
Jun Crude Oil -0.1% at $94.38/brl
Observations/Insights
Asian markets were trading higher after U.S. markets closed in positive territory. The S&P 500 ended the session at fresh record highs on strong stock performance and better than expected U.S. housing data. The Australian market extended its rally for the second day, reaching a five-year high. S&P/ASX was led by financials after ANZ released a strong set earnings for H1. Shares of ANZ headed toward close up over 5%.
Following yesterday's national holiday, Japanese equities resumed trading with investors signaling a defensive tone on mixed economic data and continued short-covering in the yen trade. Though overall household spending resurged in March, retail sales unexpectedly declined, with both m/m and y/y data coming in much less than expected. Today's after-hours set of earnings include Japan's major airlines, as well as tech names Fujitsu, Seiko Epson, and Tokyo Electron. Shipper Mitsui OSK is up over 6.5% after offering much better than expected guidance as part of its earnings, while Nippon Yusen is flat. China markets remained close on public holiday, set to reopen on Thursday.
Currency markets were quiet despite the raft of data out of Japan. The USD/JPY briefly tested above the ¥98 handle, but was unable to gain momentum, as traders remained cautious going into the U.S. employment data later this week. The EUR/USD is also unable to sustain a rally above $1.31, despite Italian parliament lower house passing the confidence vote on the new Letta government. The NZD traded relatively weaker after a disappointing decline in building approvals before regaining strength above $0.8550.
Fixed Income/Commodities
(JP) Japan BoJ to purchase ¥1T in Treasury bills outright on Thursday, May 2nd
GLD: SPDR Gold Trust ETF daily holdings fall by 2.5 tons to 1,080.6 ton (lowest since 1,078.9 in Sept of 2009)
SLV: iShares Silver Trust ETF daily holdings rise to 10,407 tons from 10,392 tons
Speakers/Political/In the Papers
(JP) Japan Ministry of Economy, Trade and Industry (METI): Upgrades assessment of Industrial Production
(JP) Japan Dep Econ Min Nishimura: Both Japan, US would benefit from the TPP free-trade agreement - financial press
(KR) Bank of Korea (BOK) gov Kim: Global QE policies becoming increasingly less effective - Korean press
(KR) South Korea Def Ministry: North Korea is keeping missile launchers on the east coast; on alert until they are removed - financial press
(KR) Bank of Korea (BOK) semi-annual financial stability report saw growth of household debt slowing in 2012; Capacity to repay debt said to have deteriorated - Korean press
(AU) PWC study says only one out of every 2 businesses in Australia intend to hire in the next 6 months; Lowest plans for investment in 5 years - NZ press
(NZ) According to BNZ monthly survey, business confidence in Apr rose to 45.3% from 24.6% - NZ press
(HK) New Hong Kong luxury home sales to China buyers declines - Hong Kong press
Equities
MAS: Reports Q1 $0.13 (adj) v $0.14e, R$1.88B v $1.99Be; -2.0% afterhours
HTZ: Reports Q1 $0.21 v $0.18e, R$2.44B v $2.38Be; +0.5% afterhours
ESRX: Reports Q1 $0.99 v $0.98e, R$26.1B v $25.6Be; -2.1% afterhours
BWLD: Reports Q1 $0.87 v $0.99e, R$304.4M v $304Me; +1.2% afterhours
HIG: Reports Q1 $0.92 v $0.83e, R$9.18B v $7.66B y/y; -1.7% afterhours
NEM: Reports Q1 $0.71 v $0.78e, R$2.18B v $2.32Be; -2.0% afterhours
Mitsui OSK 9104.JP: Reports FY12/13 Net loss ¥178.9B v loss ¥173Be, Op loss ¥15.8B v loss ¥16.7Be, Rev ¥1.51T v ¥1.51Te
Unicharm 8113.JP: Reports FY12/13 Net ¥43.1B v ¥35Be, Op Profit ¥59.5B v ¥58Be, Rev ¥495.8B v ¥489Be
Kawasaki Kisen 9107.JP: Reports FY12/13 Net ¥10.7B v ¥11.3Be, Op Profit ¥14.9B v ¥14.1Be, Rev ¥1.13T v ¥1.11Te
Nissin Food 2897.JP: Guides FY15 Op profit ¥31B, Rev ¥450B; plans cost cutting measures of ¥3-4B over three years
Softbank 9984.JP: May report FY12/13 op profit around ¥750B, +11% y/y - Nikkei News
Nippon Yusen 9101.JP: Reports FY12/13 Net ¥18.9B v ¥7.5Be, Op Profit ¥17.4B v ¥22Be, Rev ¥1.90T v ¥1.88Te
Japan Exchange 8697.JP: Reports FY12/13 Net ¥10.9B, Op profit ¥19.6B, Rev ¥71.7B
Mitsubishi Electric 6503.JP: Reports FY12/13 Net ¥69.5B v ¥57Be, Op Profit ¥152B v ¥159Be, Rev ¥3.57T v ¥3.55Te
ANZ.AU: Reports H1 Net A$2.95B v A$2.92B y/y, Cash profit A$3.18B v A$3.13Be
FCG.NZ: Fonterra pilot SCHEME To Give Farmers milk price certainty
ORG.AU: Reports Q3 Rev A$199.2M, -2% y/y; Q3 output 29.5Pje, -5% y/y, +2% q/q
LG Electronics 066570.KR: Expects 2013 sales of smartphones to reach 50M units vs 26.3M sold in 2012 - Korean press
LG Telecom 032640.KR: Reports Q1 Net KRW74.3B, Op profit KRW123.2B, Rev KRW2.86T