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08 February 2010

A quiet day on the macro side, look for earnings releases

Christian Blaabjerg, Chief Equity Strategist, Saxo Bank

A quiet Monday in terms of macro data will kick off this week, so focus will be on the reporting companies, and of course the continued problems surrounding the PIIGS countries. Spreads have widened again and stocks fell overnight over failure to get any closer to a solution to the budget deficits in the Eurozone. We remain negative on risk today and sell on rallies. The revision of nonfarm payrolls last Friday meant that the March 2009 level was revised down by 930K while the December 2009 level was changed by -1,363K. Meanwhile consumer credit continues to fall, this time by $1.7bn.

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