CONTINENT: Euro-Zone' Industrial Output' may inch into the black, euro rises for the 7th day.


QUOTE: Any fool can criticize, condemn and complain - and most fools do.
MARKET PULSE

  • ECB President Mario Draghi speaks in the European Union parliament today.
  • Forecast: Likely rebound in euro-area industrial production.
  • Forecast: US, 1st-time applications for jobless benefits rose to 320,000 from 298,000.
  • Republicans back "Budget Deal" easing U.S. spending cuts.
  • Australia's dollar fell after unemployment rose to match the highest level since 2009.
  • Australia, the unemployment rate climbed to 5.8 % in Nov. from 5.7 % in Oct.
  • The MSCI Asia Pacific Index of stocks fell 1 % following a 1.1 % drop by the S&P 500 Index.
  • Canadian dollar gains a 6th day as crude-oil discount narrows.
  • Pound falls from 2-year high as Weale says inflation cooling.
  • India: Exports rose 5.9 % and imports fell 16.4 %, official data showed yesterday.


COMMODITIES HEADLINES

  • WTI Swings After Biggest Drop in Two Weeks on U.S. Fuel Supplies .
  • Gold Swings on Fed Stimulus Outlook After U.S. Budget Accord.

INDIAN INR
MARKETS
The rupee fell 0.7 % to 61.67, the biggest drop since Nov. 12. Market predicts the currency will trade between 58 and 62 in the "medium- term." 1-month volatility increased 35 basis points to 11.74 %. 3-month offshore non-deliverable rupee forwards fell 0.7 % to 63.02.
FACTORS

  • Opinion: U.S. will pare stimulus that has boosted inflows to emerging markets.
  • India's trade deficit fell to $9.22 billion in Nov. from $10.6 billion in Oct.
  • Exports rose 5.9 % and imports fell 16.4 %, official data showed yesterday.
  • Forecast: U.S. retail sales rose 0.6 % in Nov, after climbing 0.4 % in Oct.
  • RBI predicts the economy will grow at 5 same as 2012-13 (slowest since 2003).
  • Forecast: CPI rose 10 % in Nov. versus 10.09 % in Oct.


FOREIGN EXCHANGE
MARKETS
The euro held a 7-day gain against the dollar that matched its longest rally since April 2011. The euro was little changed at $1.3793 from yesterday, when it touched $1.3811, the highest since Oct. 29. The 7th-straight gain matched its longest run since an 8-day advance to April 28, 2011. The euro added 0.2 % to 141.46 yen. The dollar rose 0.1 % to 102.56 yen, halting a 2-day, 0.8 % decline. The Aussie fell to 90.25 U.S. cents from 90.48 yesterday, when it dropped 1.1 %. It is down 15 % over the past 12 months.
FACTORS

  • ECB President Mario Draghi speaks in the European Union parliament today.
  • Forecast: Likely rebound in euro-area industrial production.
  • Australia's dollar fell after unemployment rose to match the highest level since 2009.
  • The MSCI Asia Pacific Index of stocks fell 1 % following a 1.1 % drop by the S&P 500 Index.
  • Forecast: US, 1st-time jobless benefits rose to 320,000 from 298,000 the prior week.
  • Australia, the unemployment rate climbed to 5.8 % in November from 5.7 % a month earlier.