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European markets down on calls for less attention to fiscal and monetary stimulus

The German DAX 30 (-0.25%), the French CAC 40 (-0.20%), the Italian FTSE MIB (-0.15%) and the Spanish IBEX 35 (-0.56%) are edging lower on Friday like most European equity indexes, as well as futures for the American S&P 500, Nasdaq 100 and Dow Jones 30 that signal a lower opening by 10-15% ahead of the NY session and consumer confidence and industrial production data releases.

Investors' sentiment in equities is lower today as EU's Rehn and ECB's Asmussen comment about policy on exchange rates and dismiss such actions. They call for more focus on reforms and less attention to fiscal and monetary stimulus, which puts pressure on equities, recently buoyed by accomodative policies.

About the US data ahead: "For industrial production, we are above the market (+0.2%) in expecting that higher utilities output will contribute to a 0.4% advance", wrote TD Securities analyst Alvin Pontoh, expecting modest improvement in consumer confidence, with the index increasing to 76.0 from 73.8 (market: 74.8).

Forex Flash: G-20 impact will be fleeting - BTMU

Derek Halpenny, European Head of Global Markets Research at the Bank of Tokyo Mitsubishi UFJ notes that the Yen has strengthened further during the Asian trading session ahead of the G-20 gathering today in Moscow.
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Forex: EUR/USD supported by yesterday's lows

The EUR/USD remains pressured as the week ends. Having plunged by 100 pips yesterday, the market found support at 1.3316 low and was pulled to 1.3350. Today, more downside momentum sent the pair back to those lows, printing a new February low at 1.3312. However, the EUR/USD is not ready to extend losses further. Maybe, not yet....
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