From: Sent: Fri 11/8/2013 10:51:45 AM Subject: Early Tour 11.8.13 Good Morning ... European Markets off 20-95 bps (Italy +0.11%) NKY -1.00%, SHCOMP -1.09%, HSI - 0.56%, KOSPI -0.96%, TWSE -0.65%, ASX -0.39% EUR 1.3424 (+0.04%) JPY 98.19 (-0.11%) EUR/JPY 131.82 (+0.14%) AUD 0.9451 (-0.04%) SEK 6.579 (-0.71%) US 10yr 2.61% Japan 10yr 0.59% Germany 10yr 1.70% Portugal 10yr 5.87% Italy 10yr 4.12% Spain 10yr 4.08% Futures: Dow +15, Nasdaq +11, S&P +4 DXY $80.86 (+2c) Crude $94.09 (-11c) Gold $1308.80 (+30c) Copper +0.03% Silver +0.06% Nat Gas +0.99% Asian markets were all lower overnight on follow-through from the US move yesterday. China underperformed as it continues to be weighed down by the upcoming CCPC meetings which start tomorrow. Better trade data did little to help sentiment: China Oct Exports +5.6% (est +1.7%) and Imports 7.6% (est +7.4%). Earnings remain in focus in Japan with around 80% of results now complete. The Nikkei was lower as the firmer Yen weighed on exporters. In its monetary policy statement, the RBA forecast below-trend growth and rising unemployment in 2014 as resource investment drops and renewed currency strength drags on the economy, leaving open the possibility of lower interest rates. European markets also in the red and playing catch up to the overnight move lower in global risk assets. France's credit rating has been downgraded from AA+ to AA by S&P for the second time in nearly 2 years ("the downgrade reflects our view that the French government's current approach to budgetary and structural reforms to taxation, as well as to product, services, and labor markets, is unlikely to substantially raise France's medium- term growth prospects"). IMF conference today titled "Policy Responses to Crises" and Bernanke will be on a panel @ 3:30pm along with Stanley Fischer, Larry Summers, and Ken Rogoff. The US labor report will take center stage in a few hours with NFP estimates at +120k and the unemployment rate