Very substantial gains in the jobs market. Mar employment figures printed +303.1k (100.0k exp., 259.2k prev.) pushing the unemployment rate down to +7.5% (8.0% exp., 8.2% prev.) and this was in the face of a large pick up in the participation rate to +65.2% (64.8% exp., 64.7% prev.)
The Market focused on the Mar FOMC minutes for any potential details on tapering and it was disappointed. The more significant communication came form the NY Fed’s markets desk which hinted at shifting QE purchases towards the same weighted maturity that the Treasury issues at. Mar ISM Services was stronger at 63.7 (59 exp., 55.3 prev.) Mar core PPI +0.6% MoM (0.2% exp., 0.2% prev.) and +3.1% YoY (2.7% exp., 2.2% prev.)
The Mar ECB minutes cast some doubt on the decision surrounding the PEPP purchases, which was described at the press conference as “significant” and “broad consensus” but was a lot more conflicted when looking at the details.
Eurozone wide Feb unemployment rate ticked up to +8.3% (8.1% exp., 8.1% prev.) and Feb PPI rose less than expected to +0.5% MoM (0.6% exp., 1.4% prev.) leading to a +1.5% YoY (1.3% exp., 0.0% prev.) French Feb industrial production was weaker at -4.7% MoM (0.5% exp., 3.3% prev.) and -6.6% YoY (-1.2% exp., -0.2% prev.). German Feb Factory Orders were as expected +1.2% MoM (1.2% exp., 1.4% prev.) and Feb industrial production echoed the French numbers at -1.6% MoM (1.5% exp., -2.5% prev.) and -6.4% YoY (-2.3% exp., -3.9% prev.). Italian Feb unemployment moved higher to +10.2% (8.9% exp., 10.3% prev.) and the PMIs were weaker. Feb retail sales surprise to the upside +6.6% MoM (2.0% exp., -3.0% prev.) and resulting in -5.7% YoY (-6.0% exp., -6.8% prev.)
Norwegian Mar PMI Manufacturing rose to +60.4 (56.1 prev.), Feb Industrial Production and Industrial Production Manufacturing MoM was weaker. With Mar core CPI maintaining a moderate level at +0.3% MoM (0.2% exp., 0.4% prev.) and +2.7% YoY (2.7% exp., 2.7% prev.)
Swedish Mar PMIs were slightly lower, but maintained a very high level. Feb Industry Production ticked higher at +2.4% YoY (1.1% prev.), however industrial orders disappointed at +0.3% MoM (0.6% prev.) and +5.3% YoY (8.5% prev.)
Australia: The RBA met and kept policy rates unchanged, and the statement reiterated the previous stance of looking through transitory inflation and maintaining low rates for a length period. Second tier consumer and inflation data ticked up.
New-Zealand: Business outlook was positive, but confidence dropped.