Fro Sent: Wed 4/10/2013 9:58:01 AM Subject: Early Tour 4.10.13 Good Morning ... European Markets up 60-150 bps (Portugal +2.8%, Spain +2.1%) ASX - 0.18%, NKY +0.73%, KOSPI +0.77%, TWSE +0.31%, SHCOMP +0.02%, HSI +0.25% EUR 1.3096 (+0.10%) JPY 99.41 (-0.39%) EUR/JPY 130.17 (+0.48%) AUD 1.0519 (+0.28%) Spain 10yr 4.67% Italy 10yr 4.34% US 10yr 1.77% Futures: Dow +33, Nasdaq +10, S&P +4 DXY $82.33 (+3c) Crude $93.96 (-24c) Gold $1581.10 (- $5.60) Copper -0.38% Asian markets mostly higher overnight, with Japan once again leading the way (Topix ended +1.7%). UBS upgraded Japan to Overweight and selected the market as the most preferred in APAC. They also raised their 2013 year-end JPY target to 110 from 100 and 2014 year-end target to 120. Nomura also out with Yen targets of 100 at end of June 2013, 102 at year-end 2013, and 106 at year-end 2014. South Korea was a quiet session but ended higher as sellers remained muted while foreigners and pension were slightly better to buy. Investors remained side- lined in light of the North Korean situation, although no missiles have yet been fired. The SHCOMP ended flat after China's rating was cut by Fitch on lack of transparency into growing local government debt. China's exports rose less than forecast for the first time in four months, as they increased 10% vs. 11.7% consensus and 21.8% previously. Imports rose by 14% in March, higher than expected and boosting the trade deficit to $880M. Australia underperformed despite strength in the miners on back of several broker upgrades. European markets well bid to start the day following the US strength yesterday afternoon. EMU Banks outperforming (SX7E +3.5%) led by Portuguese banks. Solar also acting well on the heels of FSLR yesterday. George Soros spoke last night in Germany and said that a solution to the Eurozone crisis can be summed up in one word: Eurobonds. He went on to argue that it is up to Germany to take the lead on this front and that if t