Abe To Resign

Just in: Japanese Prime Minister Shinzo Abe announced Wednesday he would step down, ending a year-old government that has suffered a series of damaging scandals and a humiliating loss at the ballot box.

Well, should be good news for JPY but let's see.

The broader market was positive yesterday as everyone trusts in Bernanke. I'd consider loading up on vol plays as I'm sure the market will go spastic should the Fed not cut or only by 25 bp next week.

Today's data:

0030 Australia September Westpac consumer confidence (-8.1%)

0400 Japan August bankruptcies (15.6% y/y)

0500 Japan August consumer confidence (44.6)

0600 Japan August machine tool orders

0830 UK August claimant count (2.6%)

0830 UK August jobless claims change (-8,500)

0830 UK July average earnings (3.3% y/y)

0830 UK July ILO unemployment rate (5.4%)

0830 UK July manufacturing unit wage cost (0.4% y/y)

0900 Eurozone Q2 labour costs (2.2% y/y)

0900 Eurozone July industrial production (-0.1% m/m)

0900 Eurozone July industrial production (2.3% y/y)

1100 US MBA mortgage applications (1.3%)

2100 NZ Reserve Bank of New Zealand official cash rate

2245 NZ July retail sales (-0.4% m/m)

2245 NZ July retail sales, ex-autos (-0.5% m/m)

2301 UK August RICS house price balance (12.6%)

2350 Japan Net foreign investment

(Source: GCI Financial)