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EFTA00401937

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From: Ike Groff Subject: Early Tour 11.8.12 Date: Thu, 08 Nov 2012 10:59:12 +0000 Inline-Images: image001.jpg; image002.png ;_,Description: Description: Good Morning ... Europe mostly higher (Greece -1.9%, Italy -0.56%) ASX -0.72%, NKY -1.51%, KOSPI -1.19%, SHCOMP -1.63%, HSI -2.41% EUR 1.2734 (-0.29%) JPY 79.85 (+0.18%) NZD -0.23% Copper -0.03% Spain 10yr 5.81% Italy 10yr 4.98% US 10yr 1.65% Futures: Dow +21, Nasdaq +4, S&P +1 DXY 80.94 (+0.22%) Crude $85.18 (+0.88%) Gold $1714.50 (+0.03%) China's 18th Party Congress kicked off last night (highlights below) but the actual selection of the new Politburo Standing Committee will not take place until next Thursday. It is expected that the PSC will be reduced to 7 members (currently 9) to promote unity and efficiency in decision making (NYT). China macro data tonight/tomorrow and the official statistics chief was out saying that people will be "more confident' about O4 growth once the data is released. Greece narrowly approved its latest austerity package last evening (as expected) after securing 153 Yes votes in the 300 seat Parliament (budget vote on Sunday). Spain sells €4.76 billion in 3-6-20yr bonds vs max target €4.5 billion and has now met its official issuance target for 2102 of €86.5 billion. ECB/BOE decisions coming up and likely to stay on hold on all fronts & focus will be on any additional commentary out of the Draghi press conference. European markets opened higher after a huge de-risk day yesterday but rolled off the highs on some headlines from MNI Newswire saying there is little chance Spain seeks ESM aid this year & the ECB is not keen to launch its disputed OMT bond buying (periphery yields ticking up a bit this morning). Volumes in Europe tracking 135% of 20day average but getting quieter and awaiting direction from US. Jobless claims @ 8:30am. SPA's — flat after being +5 handles earlier = 1389.80 last. "'Rate Decisions: BOE @ 7am / ECB @ 7:45am, US Trade Balance & Jobless

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