From: Ike Groff Sent Mon 4/22/2013 9:50:35 AM Subject Early Tour 4.22.13 Good Morning ... European Markets up 25-115 bps (Italy +2.0%) ASX +0.70%, NKY +1.89%, KOSPI +1.03%, TWSE +0.50%, SHCOMP -0.11%, HSI +0.36% EUR 1.3049 (-0.02%) JPY 99.81 (-0.29%) EUR/JPY 130.22 (+0.26%) AUD 1.0263 (-0.13%) US 10yr 1.73% Futures: Dow +70, Nasdaq +20, S&P +8 DXY 82.78 (+6c) Crude $88.38 (+37c) Gold $1423.80 (+$28.20) Silver +1.8% Copper -0.77% Japan led the AsiaPac region once again as the JPY continues to flirt with 100 after the G20 gave its tacit approval to Kuroda's policy over the weekend. M&A was in focus after the Nikkei reported that Kawasaki Heavy (-0.9%) and Mitsui Engineering (+13%) are in merger talks — construction (+5%) best TOPIX sub-sector. China diverged as PRC insurance names weighed following Saturday's 6.6 magnitude earthquake in Sichuan, which killed more than 180 and wounded more than 10k. Hong Kong is faring a bit better than the mainland with notable strength in autos as the Shanghai Auto Show kicked off. Macau names arc also trading better following a positive sector note from CLSA ahead of results. South Korea spiked to close at the highs on talk of government related program buying. DB was out with a bullish report forecasting a year-end KOSPI target of 2,150, implying 13% upside: "Although Korea has underperformed in 2013 and has battled weak sentiment, we believe market conditions will improve as the Park Administration settles in." Tonight we will get the China HSBC Flash Manufacturing PMI for April with estimates at 51.5 vs. 51.6 in March. European markets also higher after Italy's parliament re-elected 87yr old President Giorgio Napolitano to serve an unprecedented second term in an effort to resolve the political stalemate since the Feb elections. Periphery spreads tightening this morning with Italy 10yr -12bps to 4.11% & Spain 10yr -7bps to 4.55%. Italian Banks leading the EMU Bank Index higher (SX7E +2.2%). Gold lifti