Treasury Market Preview

*** ECONOMIC SCHEDULE ***
UK BOE to announces interest rate decision: Expected to keep rates on hold at 5.75% [7:00 et]
EU ECB to announce interest rate decision: Expected to keep rates on hold at 4.00% [7:45 et]
US Initial Jobless Claims: 325Ke || 327K prior [8:30 et]
US Continuing Claims: 250Ke || 2588K prior [8:30 et]
US Treasury to hold 30-year bond auction [13:00 et]
*** ASIAN NEWS OVERNIGHT ***
JP Sep Machine Orders: M/M ??�7.6% v ??�1.5%e || Y/Y ??�7.0% v ??�0.9%e
JP Net Stocks Investment: ??202.2B v ??45.6B prior || Prior revised from ??45.6B to ??43.4B
JP Net Bonds Investment: ??288.0B v ??740.3B prior || Prior revised from ??740.3B to ??739.3B
JP Oct Money Supply M2 +CD: 2.0% v 1.7%e
JP Oct Broad Liquidity: 3.6% v 4.1%e
JP Oct Bank Lending incl. Trusts: 0.7% v 0.6%e
SK South Korean Central Bank keeps rates on hold at 5.00% as expected
SK Oct Producer Price Index: 3.4% v 2.1% prior
SK Oct Consumer Confidence: 103.3 v 103.2 prior
SK Oct Consumer Confidence sa: 106.1 v 104.8 prior
AU Oct Employment Change: 12.9K v 20.0Ke
AU Oct Unemployment Rate: 4.3% v 4.2%e
AU Oct Participation Rate: 65.0% v 65.0%e
NZ Q3 Unemployment Change: Q/Q ??�0.3% v 0.4%e || Prior revised from 0.7% to 0.6% |||| Y/Y 1.5% v 2.3%e
NZ Q3 Unemployment Rate: 3.5% v 3.6%
IMF Official: South Korean GDP seen growing at 4.6% in 2008
HKMA may consider more frequent money market intervention
JP sells ??1.82T in 5-year bonds with an average yield of 1.078% and a bid-to-cover of 2.52x. The bid-to-cover on the previous auction was 3.26x.
PBOC Official: PBOC sees 2007 GDP above 11% and CPI around 4.5%
PBOC Official: Will enhance Yuan flexibility
PBOC Official: To use price tools to stabilize inflationary pressures
PBOC Official: Expresses concern over a possible fallout from the US sub-prime situation
PBOC Official: Oil prices may continue to rise
*** EUROPEAN NEWS OVERNIGHT ***
SZ Oct Unemployment Rate: 2.6% v 2.5%e
SZ Oct Unemployment Rate sa: 2.6% v 2.6%e || Prior revised from 2.6% to 2.7%
GE Sep Trade Balance ?��18.1B v ?��16.0Be
GE Sep Current Account: ?��15.4B v ?��12.1Be || Prior revised from ?��9.1B to ?��8.8B
GE Sep Imports: -2.6% v ??�0.8%e || Prior revised from 5.6% to 4.5%
GE Sep Exports: 0.7% v 0.4%e || Prior revised from 3.0% to 2.4%
UK HBOS House Prices: M/M ??�0.5% v 0.5%e || Y/Y 8.9% v 9.4%e
SW Sep Industrial Production: M/M ??�0.6% v 0.5%e || Prior revised from ??�0.7% to ??�0.5% |||| Y/Y 1.1% v 2.9%e || Prior revised from 2.4% to 2.8%
SW Sep Industrial Orders: M/M 5.8% v ??�3.5% prior || Prior revised from ??�3.5% to ??�3.1% |||| Y/Y 1.7% v 2.6%e || Prior revised from 2.6% to 2.4%
SW Sep Activity Index Level: 121.4 v 121.1 prior
GE Has no plans to push G-7 on the Euro [wires citing sources]
GE German government will not pressure hte ECB about Euro FX
GE ECB's independence is highly valued [wires citing sources]
GE There are some concerns arond the economic impact of the strong Euro [wires citing sources]
GE Surprised on how well the firms are coping with the strong Euro [wires citing sources]
GE Japanese and Chinese FX continue to be a source of concern [wires citing sources]