Follow-through from yesterday’s North American selloff continued through Asia Pacific trading overnight, but then petered out. Just as bulls were unable to capitalize on Monday’s rally, bears have been unable to keep yesterday’s selloff going with European indices trading slightly higher and US indices trading slightly lower this morning. This indicates a market in balance where neither side is able to assert control for very long, creating opportunities for shorter-term swing trading. There hasn’t been much in the way of economic news overnight to really drive action in either direction, strong US housing starts reflects pent up demand from the winter kicking into gear, but strong building permits indicates ongoing strength in the real estate market stateside. JC Penney could attract attention today following a surprisingly strong increase in same store sales. Currencies have been relatively steady today with the main story being a rebound in GBP against other majors bouncing back from a correction earlier in the week. Gold continues to drift downward within the lower half of an established trading channel. Corporate News JC Penney ($1.12) vs street ($1.22), same store sales up 6.2% vs street 4.2%, overall sales $2.8B vs street $2.7B Economic News Economic reports released overnight and this morning include: US housing starts 1,072K vs street 980K US building permits 1,080K vs street 1,010K China Foreign direct investment 3.4% vs street 1.0% Singapore electronic exports (8.7%) vsstreet (7.5%) Japan industrial production 7.4% vs street 7.0% Economic reports due later today include: 9:55 am EDT US U of Michigan consumer confidence street 84.5

Disclaimer: CMC Markets is an execution-only service provider. The material (whether or not it states any opinions) is for general information purposes only, and does not take into account your personal circumstances or objectives. Nothing in this material is (or should be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by CMC Markets or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although we are not specifically prevented from dealing before providing this material, we do not seek to take advantage of the material prior to its dissemination.