Wednesday, 07 September

Sunrise Market Commentary

From KBC Market Research Desk - More research on www.kbc.be/dealingroom

Global core bonds end close to unchanged

A surprise move by the Swiss National Bank triggered temporary some risk appetite but eventually investors focussed back on what matters today: the EMU debt woes and the global recession fears. Better than expected US eco data caused a slight extra sell-off in treasuries.

SNB puts unlimited resources in place to cap the rise of the franc
Yesterday, the spotlights were on the SNB as it committed to prevent the CHF from strengthening beyond EUR/CHF 1.20. The action of the SNB also had some temporary spill-over effects on other major currency cross rates. However, the global picture hasnt changed. The euro continues to fight an uphill battle.

News & Calendar: Confidence picks up in the US services sector

Sunrise Headlines
S&P Eurostoxx50 Nikkei Oil CRB Gold 2 yr US 10 yr US 2 yr EMU 10 yr EMU EUR/USD USD/JPY EUR/GBP

US Equities opened sharply lower after the long weekend, but reversed some of the losses supported by stronger economic data. This morning, Asian shares trade in positive territory, gaining 1.5-2%. The Swiss National Bank surprised markets yesterday by setting a ceiling for the Swiss franc against the euro as previous measures to weaken its currency proved ineffective as the worsening euro zone crisis prompted a flight to safety by investors. According to US media, US President Obama plans to propose some $300 billion in tax cuts and government spending to be announced tomorrow in a nationally televised speech to Congress. Italys centre right government caved in to pressure from bond markets and European partners late yesterday by announcing a last-minute U-turn to strengthen Italys austerity package. The Bank of Japan kept is policy unchanged this morning, saving its ammunition for later as the yen stabilized in the wake of Switzerlands radical action. The central bank maintained its assessment that the economy was steadily picking up after the devastating earthquake and tsunami. Minneapolis Fed President Kocherlakota, who opposed the Feds last move to ease monetary policy signaled yesterday he may balk again if fellow policymakers opt for still more stimulus this month. Australias economy grew by 1.2% Q/Q last quarter, the fastest pace in four years, beating forecasts and more than recouping the first quarters flood-driven decline. The Australian dollar strengthened this morning. Today, the eco calendar contains the German and UK industrial production data. The Fed will publish its Beige Book and the Swedish Riskbank and Bank of Canada will decide on rates.

KBC Bank N.V. - Treasury and Capital Markets Front Office, Market Research

Wednesday, 07 September

Sunrise Market Commentary

Markets: Fixed Income

2 5 10 30 US yield 0,208 0,9228 2,0446 3,3448 -1d 0,0040 0,0800 0,1020 0,0991

2 5 10 30

DE yield 0,4980 1,0300 1,8460 2,9120

-1d 0,0540 0,0680 -0,0040 0,0690

On Tuesday, the Swiss National Bank surprised markets by setting a minimum exchange rate at CHF 1.20 per euro because the current massive overvaluation of the CHF poses an acute threat to the Swiss economy and carries the risk of a deflationary development. The selling of CHF (mostly for EUR) had some spill over effects on other markets as it triggered risk appetite: equities found a better bid and the German Bund gave away part of yesterdays massive gains. However, optimism was short-lived and investors soon focussed on what really matters these days: the ongoing EMU debt woes (see below) and the fear of a new global recession. Equities fell back into negative territory and global core bonds fulfilled their safe haven role. US Treasuries, which didnt trade on Monday, opened higher but gradually started falling. They also temporary regained composure when risk aversion kicked in but eventually, a way better than expected US non-manufacturing ISM, caused an extra sell-off. At the end of the day, the US 10-year Note Future closed with modest losses whereas the German Bund Future held on to limited gains. Changes on the German and US yield curve were very small: respectively between 0 and 1.9 bps and -2.7bps and +2.4 bps. On the peripheral bond markets, Greek spreads underperformed once again, whereas it was relatively calm on other EMU bond markets. ECB interventions finally managed again to prevent Spanish and Italian 10-year yields from rising further. Yesterday evening, German, Finnish and Dutch officials met to discuss a collateral deal but Dutch FM De Jager said afterwards that there is no accord yet. Other officials said a definitive solution may not be hammered out until endSeptember because of its legal complexity. So uncertainty and implementation risks will linger on for a while. Other Greek news: a Greek daily reported that Greece could ask its EMU peers for its second rescue deal to expire a year earlier than the currently planned 2014, highlighting uncertainty of the next Greek aid tranche and the risk of default. The move would enable Athens to receive payments from the 2nd bailout programme to cover a higher than expected deficit. People close to the EU/IMF said that no formal request had been submitted and that such a move was unlikely. Yesterday, the Italian government announced extra austerity measures to bring the fiscal efforts back in line with the early-August 45B promises. The measures remain however a statement of intent and given the recent juggling with measures by Italian politicians it remains to be seen whether they will eventually be implemented. Italys failure to deliver on the promised austerity has cost the country quite some credibility and increased tensions on the Italian bond market.

US 10-year Note (black) & S&P future (orange) (intra-day): After a higher opening, the US 10-year Note Future closed with limited losses.

German/Greek 10-year spread keeps accumulating record highs on fears that Greece will miss the next aid tranche and eventually default.

KBC Bank N.V. - Treasury and Capital Markets Front Office, Market Research

Wednesday, 07 September

Sunrise Market Commentary

This week, a lot of talk is scheduled. Today, the EFSF bill will be introduced in the Bundestag, but final ratification is only expected around September 29. The German Constitutional Court will decide on Wednesday on some complaints about the Greek bailout packages. The top court is expected to grant parliament more say over future aid payments, but stop short of blocking Berlins contributions to previous bailout packages. The ECB meeting on Thursday will be closely monitored, especially statements about the SMP-programme. Finally, Friday is the deadline for nonbinding offers for the private sector involvement in Greece. Remember FM Venizelos call that Greece might pull the plug if the targeted 90% involvement isnt reached. The G-7 Ministers of Finances will meet and discuss the global outlook and the euro debt crisis. Uncertainty will once again prevail this week and implementation risks are still elevated. Unless the ECB steps in more pronounced than previous weeks, the spreads versus Germany will remain under pressure and widen further. Today, the eco calendar is light with only the German and UK industrial production figures scheduled for release. After the Bank of Japan this morning, also the Swedish Riksbank and Bank of Canada will decide on rates, but more attention will go out to the publication of the Feds Beige Book. Besides the Beige Book, the euro zone debt crisis will remain in the focus of markets as the German Bundestag meets on the 2nd Greek aid, EUs Rehn speaks on the Greek economy at the EU parliament and Portugal will tap the market (T-Bills). In Germany, industrial production is forecast to have picked up in July after a 1.1% M/M decline in June. In the second quarter, German production slowed considerably after an excellent start of the year. All available evidence suggests that weakness will persist in the third quarter with a further slowdown not excluded. The consensus is looking for a 0.5% M/M increase but we believe that a downward surprise is not excluded after the disappointing sentiment indicators of recent and the weak factory orders yesterday. Also in the UK, the consensus is looking for an increase in industrial production by 0.2% M/M, but manufacturing production is forecast to have stabilized in July. Also for the British figure, we see the risks on the downside. Yesterday, the Austrian treasury tapped the on the run 7-year RAGB (3.2% Feb2017) and the on the run 40-year RAGB (4.15% Mar2037) for a combined amount of 1.2B (competitive) plus 0.12B (quota of the bund). The AAA-rated bonds met with good demand. Bid covers were respectively 2.05 and 2.37. Minneapolis Fed Kocherlakota, who opposed last months further easing of policy, said he may dissent again if his colleagues call for further accommodative action: The data in August did not justify the additional accommodation provided at that moment . It is unlikely that the data in September will warrant adding still more accommodation. Mid-September, the FOMC has a two-day meeting and the recent flattening of the US yield curve suggests markets are anticipating on the Fed announcement of an Operation Twist, in which short term Treasuries will be sold for longer Treasuries. Richmond Fed Lacker, non-voting inflation hawk in the FOMC, warned that further monetary stimulus would fuel inflation without doing much to lower unemployment. Lacker also said he understood but disagreed with Chicago Fed Evans for extra stimulus and his suggestion that a temporarily higher inflation of 3% wouldnt be a catastrophe: That case depends critically on the credibility of the central bank, on the credibility of their commitment to raise inflation and then lower it later. I dont view our credibility as complete and solidly enough grounded to be able to pull that off.

R2 R1 BUND S1 S2

136,84 136,61 136,12 136,07 135,79

-1d -9,3200

Technicals Dec! Bund The LT technical picture of the Bund is bullish, but the market is overextended and exhaustion may set the stage for profit taking, if tensions for whatever raison would ease. So, protection of longs may be warranted. On the downside, support stands at 136.07(S1,reaction low hourly), at 135.79 (S2, STMA), at 135.35 (S3, current week low) and at 134.29 (S4, MTMA). On the topside, resistance stands at 136.61 (R1, gap hourly) at 136.84 (R2, Bollinger top) and at 137.27 (R3, new contract high). The contract is in overextended conditions.

KBC Bank N.V. - Treasury and Capital Markets Front Office, Market Research

Wednesday, 07 September

Sunrise Market Commentary

Regarding trading, tensions in the euro area have been building towards again crisis-levels. The move of the German bonds on Monday was exceptional. It has all the characteristics of an exhaustion move (Marabodzo). Such a move often sets the stage for some profit taking that given the previous up move may be quite substantial. Yesterday, we saw no correction but the doji on the technical chart is a new technical sign that a correction is plausible. Of course, this observation is more technical in nature and doesnt say something about the trend. As stated recently, the fundamentals are bond friendly, but one should take into account the (high) levels the German bonds have reached. So, we would be cautious and prepared for an inevitable profit taking move. The eco calendar probably wont be influential today and most attention will go to (political) developments in the non-core EMU countries, especially to the Greek and Italian unwillingness to push through with austerity. Today, the EFSF bill will be introduced in the Bundestag, but final ratification is only expected around September 29. The German Constitutional Court will decide on some complaints about the Greek bailout packages. The top court is expected to grant parliament more say over future aid payments, but stop short of blocking Berlins contributions to previous bailout packages. EUs Rehn speaks on the Greek economy and also Feds Evans and Williams take stage.

Bund future (Dec): Uptrend well in place, but spurt higher suggests that some exhaustion may be near-by. Yesterdays doji is also a technical sign that a correction is nearby.

Dec T-Note future: Doji suggests a correction is nearby.

KBC Bank N.V. - Treasury and Capital Markets Front Office, Market Research

Wednesday, 07 September

Sunrise Market Commentary

Currencies: SNB puts unlimited resources in place to cap the rise of the franc
R2 R1 EUR/USD S1 S2 1,4146 1,4119 1,40753 1,3959 1,3878 -1d 0,0002

Technicals EUR/USD Support comes in at 1.4019 (200 D MA), at 1.3992 (Reaction low/LT Daily downtrend line), at 1.3972/69 (Reaction low/Monthly envelope), at 1.3878 (Daily envelope) and at 1.3837 (12 July low). Resistance stands at 1.4119 (STMA), at 1.4146 (Breakdown hourly), at 1.4286/88 (Reaction highs), at 1.4308 (MTMA) and at 1.43059(Breakdown daily). The pair is in oversold territory.

On Tuesday, EUR/USD traders faced an unexpected intermezzo on the one-way decline. At the start of the session, it looked that another risk-off day would be on the cards as there was no indication that Europe was making any progress in solving its debt crisis. On the contrary, German policymakers continued to signal that they were not prepared to ease the conditions for aid to other EMU countries. There was a very limited rebound on the European equity markets after Mondays sell-off, but this improvement was very limited compared to Mondays losses. So, EUR/USD held close to the reaction low in the 1.4050/1.041 area. However, this crisis already several times demonstrated that is it dangerous to take any development for granted. The Swiss National Bank announced that the CHF had become much to strong and that it aimed a substantial and sustained weakening of the CHF. The SNB will no longer tolerated the CHF to be stronger than EUR/CHF 1.20 and is prepared to buy foreign currency in unlimited quantities. EUR/CHF spiked to the target level of 1.20 after the announcement. At the same time, EUR/USD gained also two big figures as the major part of the interventions will probably be executed via the euro. In addition, the SNB interventions also caused a very temporary improvement in sentiment on riskier assets. However, this Pavlov reaction was very short-lived as there was no perspective that the debt crisis in Europe would improve anytime soon. The EMU data (GDP revision and German factory orders) were also weaker than expected. So, EUR/USD gradually slipped south again and the correction accelerated when US traders rejoined the action. EUR/USD already reached a minor intraday low in the 1.4030 area early in US dealings. The ISM of the non-manufacturing sector in the US was better than expected. However, the report hardly slowed the selling in EUR/USD. The cross rate closed the session at 1.3998, compared to 1.4098 on Monday evening. On the borders of the EMU we also have to mention the strong performance of the Swedish and the Norwegian crown. The action of the Swiss national Bank apparently made some investors looking for alternative safe haven currencies near the euro area. Today, the calendar in the US is thin, but investors will keep an eye on the Feds Beige Book preparing the 20/21 September FOMC meeting. However, as was the case of late the focus will be on Europe. The data (German July Industrial production). will probably only be of second tier importance. The Spanish senate will hold a constitutional vote on a balanced budget. In Germany, the Constitutional Court will rule on lawsuits that questioned Germanys involvement in the bailout of other EMU member states. It is expected that the Court will give the Parliament a bigger rule in future aid payments. This might limit the room of manoeuvre for the German government. A more strict ruling might be another complication on the road to a smooth solution for the EMU debt crisis. This morning, sentiment on the Asian equity markets is less negative compared to the sell-off earlier this week. This is also easing the pressure on the euro this morning. However, we dont expect a profound change/Improvement in sentiment on the single currency. Global context. Since the EU summit on July 21, EUR/USD held within a remarkably tight sideways trading range. The outcome of the meeting was unable to prevent further contagion on the EMU government bond markets. On the contrary, Italy came also in the fire line. In theory, this should have been a negative factor for the euro. However, markets still saw a balance of weakness between the euro and the dollar as the news flow from the US was also far from inspiring. The eco data indicated that the US might be at the brink of a double dip recession and the outcome of the US budget debate illustrated that US policymakers have no comprehensive plan to address the debt situation. S&P downgrading the US AAA-credit rating reinforced this feeling and weighed on the dollar. The Fed committing to extend an extremely accommodative policy at least until 2013 was also no help for the US currency. So, EUR/USD hovered sideways in a range roughly between 1.4050 and 1.4550 in August. Since last week the EMU debt crisis came again in the spotlights. EUR/USD started a correction off from the range top. The first important support (1.4259) was broken last week. The 1.4055 neckline is currently under test. The pressure is mounting and the 1.3837 level (12 (July low) is coming within striking distance.

KBC Bank N.V. - Treasury and Capital Markets Front Office, Market Research

Wednesday, 07 September

Sunrise Market Commentary

A break below this level might be an indication that some kind of euro panic might be developing. For, this remains an sell-on-upticks market.

EUR/USD: another support is given away

R2 R1 USD/JPY S1 S2

78,06 77,73 77,25 76,91 76,69

-1d 0,4450

Technicals USD/JPY Support comes in at 77.04/91 (Reaction low/MTMA), at 76.79/69 (Break-up hourly/Week low), at 76.42 (31 August low) Daily envelope), at 76.42/28 (03 August/Daily Boll Bottom), (Reaction low hourly) and at 75.94/81 (Historic low/Weekly envelope). Resistance is seen at 77.70 (Neckline double bottom/Reaction high), at 77.90/06 (Daily envelope/38% Retracement since 81.49) and at 78.30 The pair is in neutral territory.

On Tuesday, there was unusual animosity in USD/JPY trading, at least when compared to the inertia of late. The pair jumped higher as the SNB announced to cap the ascent of the CHF. This caused a very temporary bid for riskier assets and USD/JPY joined this move. The direct impact of the SNB move petered out soon but, USD/JPY succeeded to stay above the 77.00 barrier. Later in the session, the pair found again a better bid as long term US bond yields started to move higher after the better than expected ISM of the non-manufacturing sector. The pair closed the session at 77.66, compared to 76.89 on Monday evening. It has been quite a long that we havent see such a move in USD/JPY. This morning, the BOJ left its policy rate and its assessment on the economy unchanged. Asian equities try to fight back on the recent sell-off. However, USD/JPY doesnt succeed any further gains on this improvement in sentiment on risk. On the contrary, USD/JPY is drifting back south. Is the yen picking up some safe haven positions leaving the Swiss franc?

USD/JPY: SNB unlocks stalemate, at least temporary

KBC Bank N.V. - Treasury and Capital Markets Front Office, Market Research

Wednesday, 07 September

Sunrise Market Commentary

Of late, USD/JPY was under pressure mirroring both global dollar weakness while the yen continued to enjoy an ongoing safe haven bid. The BOJ makes clear that it stands ready to step in the market in case of further yen gains. This threat slowed the rise of the yen, but until now it is unable to really change the course of events. We dont see a trigger to change the current framework for USD/JPY trading, especially as US monetary policy suggests ongoing global dollar weakness. Over the previous two weeks, the pair tried to move away from the lows. However, any upticks soon met selling interest. So, the eyes are still on the BOJ/MOF. More erratic sideways trading in the 76/77 area might be on the cards. In a day-to-day perspective, the downside in this cross rate looks a bit better protected.
R2 R1 EUR/GBP S1 S2 0,8842 0,8823 0,8796 0,8752 0,8734 -1d 0,0047

Technicals USD/JPY Support comes in at 77.04/91 (Reaction low/MTMA), at 76.79/69 (Break-up hourly/Week low), at 76.42 (31 August low) Daily envelope), at 76.42/28 (03 August/Daily Boll Bottom), (Reaction low hourly) and at 75.94/81 (Historic low/Weekly envelope). Resistance is seen at 77.70 (Neckline double bottom/Reaction high), at 77.90/06 (Daily envelope/38% Retracement since 81.49) and at 78.30 The pair is in neutral territory.

On Tuesday, there was unusual animosity in USD/JPY trading, at least when compared to the inertia of late. The pair jumped higher as the SNB announced to cap the ascent of the CHF. This caused a very temporary bid for riskier assets and USD/JPY joined this move. The direct impact of the SNB move petered out soon but, USD/JPY succeeded to stay above the 77.00 barrier. Later in the session, the pair found again a better bid as long term US bond yields started to move higher after the better than expected ISM of the non-manufacturing sector. The pair closed the session at 77.66, compared to 76.89 on Monday evening. It has been quite a long that we havent see such a move in USD/JPY. This morning, the BOJ left its policy rate and its assessment on the economy unchanged. Asian equities try to fight back on the recent sell-off. However, USD/JPY doesnt succeed any further gains on this improvement in sentiment on risk. On the contrary, USD/JPY is drifting back south. Is the yen picking up some safe haven positions leaving the Swiss franc? Of late, USD/JPY was under pressure mirroring both global dollar weakness while the yen continued to enjoy an ongoing safe haven bid. The BOJ makes clear that it stands ready to step in the market in case of further yen gains. This threat slowed the rise of the yen, but until now it is unable to really change the course of events. We dont see a trigger to change the current framework for USD/JPY trading, especially as US monetary policy suggests ongoing global dollar weakness. Over the previous two weeks, the pair tried to move away from the lows. However, any upticks soon met selling interest. So, the eyes are still on the BOJ/MOF. More erratic sideways trading in the 76/77 area might be on the cards. In a day-to-day perspective, the downside in this cross rate looks a bit better protected.

USD/JPY: SNB unlocks stalemate, at least temporary

KBC Bank N.V. - Treasury and Capital Markets Front Office, Market Research

Wednesday, 07 September

Sunrise Market Commentary

News
US: confidence picks up in the services sector
In August, the US non-manufacturing ISM unexpectedly improved. The headline index rose from 52.7 to 53.3, reversing previous months decline, while the consensus was looking for a drop to 51.0. The details show a mixed picture as business activity (55.6 from 56.1), inventory change (53.5 from 56.5), inventory sentiment (56.0 from 59.5) and employment (51.6 from 52.5) deteriorated, while new orders (52.8 from 51.7) picked up slightly. Backlog of orders (47.5 from 44.0), supplier deliveries (53.0 from 50.5), new export orders (56.5 from 49.0) and imports (53.5 from 47.5) showed a more significant increase. Cost pressures accelerated again in August as prices paid jumped significantly from 56.1 to 64.2. While both employment and business activity weakened in August, the outlook is more encouraging as both new orders and new export orders picked up, boding well for the coming months. After already an upward surprise in the manufacturing ISM, this outcome suggests that analysts had become too pessimistic. Nevertheless, the risks for a double dip recession remain in place as the manufacturing ISM is at stagnation levels and especially as the labour market remains extremely weak.

EMU: net-exports supported growth in Q2

The preliminary estimate of euro zone Q2 GDP confirmed the first estimate, showing only meagre growth. In the euro area, GDP expanded by 0.2% Q/Q in the April to June period, as suggested by the first estimate. More interesting was the first release of the details, which were disappointing too. Household consumption fell by 0.2% Q/Q (from 0.2% Q/Q in Q1), while a decline by 0.1% Q/Q was expected and government spending contracted unexpectedly (-0.2% Q/Q from 0.4% Q/Q). Gross fixed capital formation slowed more than expected, posting only a 0.2% Q/Q increase (from 1.8% Q/Q in Q1), while a 0.8% Q/Q rise was expected. Both exports (1.0% Q/Q) and imports (0.5% Q/Q) held up relatively well, adding 0.2% Q/Q to growth and also change in inventories made a positive contribution to growth (0.1% Q/Q). The drag from household consumption was somewhat bigger than expected and also investments slowed more than forecasted, which makes the report somewhat weaker than expected. The positive contribution from net-exports is positive news, but the outlook is less so as recent data suggested that export orders are slowing sharply due to the global economic slowdown. In July, German factory orders surprised on the downside of expectations, falling by 2.8% M/M while a decline by 1.5% M/M was expected. The correction is no surprise as orders rose significantly in each of the previous three months, but a more moderate decline was expected. The details show that weakness was based in foreign orders (-7.4% M/M), especially from non-EMU countries (-10.2% M/M), but also orders from euro area member states dropped (by 3.3% M/M) in July. Domestic orders, on the contrary, rebounded by 3.6% M/M after a 10.1% M/M decline. The sector breakdown indicates that orders for capital goods fell by 7.0% M/M, while orders for intermediate (2.9% M/M) and consumer (4.5% M/M) goods rose in July.

KBC Bank N.V. - Treasury and Capital Markets Front Office, Market Research

Wednesday, 07 September

Sunrise Market Commentary

Calendar
Wednesday, 7 September US 13:00 16:00 Canada 15:00 16:00 Japan 05:21 01:50 07:00 07:00 UK 01:01 09:00 10:30 10:30 Germany 12:00 Belgium 15:00 Norway 10:00 10:00 Sweden 09:30 09:30 Events 15:00 17:15 17:30 20:00 22:00 Portugal Consensus MBA Mortgage Applications JOLTs Job Openings (JUL) Bank of Canada Rate Ivey Purchasing Managers Index SA (AUG) BOJ Target Rate Official Reserve Assets (AUG) Coincident Index CI (JUL P) Leading Index CI (JUL P) NIESR GDP Estimate (AUG) BRC Shop Price Index YoY (AUG) Halifax House Prices (MoM) (AUG) Industrial Production (MoM) (YoY) (JUL) Manufacturing Production (MoM) (JUL) Industrial Production MoM YoY (sa) (JUL) GDP (QoQ) (YoY) (2Q F) Industrial Production MoM YoY (JUL) Ind Prod Manufacturing MoM YoY (JUL) Budget Balance (AUG) Riksbank Interest Rate German Bundestag Meets on 2nd Greek aid/EFSF Bill Spanish Senate Constitutional Budget Vote EUs Rehn speaks on Greek Economy at the EU Parliament in Brussels Fed's Evans Speaks on economy and monetary policy in London EUs Van Rompuy Speaks at London School of Economics Fed's Beige Book Fed's Williams Speaks to Seattle Rotary Club T-Bill Auction (1B Dec2011) -3074 1.00% 52.3 A 0.1% A $1218.5B A 109 A 106.0 -A 2.7% -0.3% 0.2% / -0.4% 0.0% / 1.9% 0.5% / 6.5% --0.9% / -0.6% -2.00% Previous -9.6% 3109 1.00% 46.8 0.10% $1150.9B 108.8 103.2 0.6% 2.8% 0.3% 0.0% / -0.3% -0.4% / 2.1% -1.1% / 6.7% 0.7% / 2.5% 5.2% / -4.9% -1.5%/-2.3% -3.7B 2.00%

10-year
US DE BE UK JP

td 2,04 1,85 4,27 2,29 1,01 EUR 1,561 2,007 2,687

- 1d 0,10 0,00 0,16 0,00 0,02 USD (3M) 0,660 1,206 2,218 - 1d 0,0002 0,44 -0,0084 0,0079 -0,0030 GBP 1,325 1,718 2,660

US DE BE UK JP

2 -year

td 0,21 0,50 2,28 0,51 0,19 0,87 1,34 1,53 1,73

- 1d 0,00 0,05 -0,03 0,02 0,01

DOW NASDAQ NIKKEI DAX DJ euro-50

STOCKS

11139,45 0,00 8763,41 5193,97 2080,10

- 1d -101,04 0,00 172,84 -52,21 -27,17

IRS
3y 5y 10y

Eonia Euribor-1 Euribor-3 Euribor-6

0,00 0,00 Libor-1 0,00 Libor-3 0,00 Libor-6 - 1d Commodities 0,63 0,0047 - 1d 0,0977 -0,08 -0,13

0,663 0,893 1,177 CRB 335,22 335,22

0,00 0,00 0,00 GOLD 1838,39 -78,52 BRENT 113,53 3,52

Currencies
EUR/USD USD/JPY GBP/USD AUD/USD USD/CAD

1,40753 77,25 1,5996 1,0605 0,9876

EUR/JPY EUR/GBP EUR/CHF EUR/SEK EUR/NOK

Currencies

108,71 0,8796 1,205 9,0376 7,5432

KBC Bank N.V. - Treasury and Capital Markets Front Office, Market Research

Wednesday, 07 September

Sunrise Market Commentary

Brussels Research (KBC) Piet Lammens Peter Wuyts Didier Hanesse Joke Mertens Mathias Van der Jeugt Dublin Research (KBC Bank Ireland) Austin Hughes Prague Research (CSOB) Jan Cermak Jan Bures Petr B a Bratislava Research (CSOB) Marek Gabris +421 2 5966 8809 Prague Bratislava Warsaw Research (Kredytbank) Piotr Radzewicz Budapest Research (K&H) Gyorgy Barcza Our reports are also available on: www.kbc.be/dealingroom
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KBC Bank N.V. - Treasury and Capital Markets Front Office, Market Research

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