Overnight News: #Metals, #Energy, Financials

Jun E-mini stock futures are up +11.75 points (+0.58%) and European stocks are up +1.01% led by rallies in financial stocks and energy producers.  Wells Fargo and Bank of America are both up at least 1.3% in pre-market trading to lead bank shares higher, while a +3.46% gain in crude oil to a 1-week high is lifting energy producing stocks.  European stocks also found support after German Feb exports and imports rose more than expected, a sign of economic strength.  Asian markets were mixed as China’s Shanghai Composite closed down -0.78%, although Japan’s Nikkei Stock Index recovered from a 1-3/4 mnth low and closed up +0.46% after the yen weakened for the first time in the last 6 sessions, which help to push export stocks higher.  USD/JPY recovered from Thursday’s 17-1/4 month low after comments from Japanese Finance Minister Aso suggest the government may soon intervene in the currency market to slow the ascent of the yen when he said that rapid yen movements are “undesirable” and the government will act appropriately if necessary.  The dollar index is up +0.09% and Jun T-notes are down -8.5 ticks.

The German Feb trade balance widened to a surplus of 20.3 billion euros, a bigger surplus than expectations of 18.0 billion euros.  Feb exports rose +1.3% m/m, stronger than expectations of +0.5% m/m and the biggest increase in 5 months.  Feb imports unexpectedly rose +0.4% m/m, stronger than expectations of -0.3% m/m.

UK Feb industrial production unexpectedly fell -0.3% m/m and -0.5% y/y, weaker than expectations of +0.1% m/m and unch y/y.

UK Feb manufacturing production fell -1.1% m/m and -1.8% y/y, weaker than expectations of -0.2% m/m and -0.7% y/y.

The Japan Mar eco-watchers survey outlook unexpectedly fell -1.5 to 46.7, weaker than expectations of +0.1 to 48.3 and the lowest in 15 months.  The Mar eco-watchers survey current rose +0.8 to 45.4, weaker than expectation sof +0.9 to 45.5.

Japan Mar consumer confidence rose +1.6 to 41.7, stronger than expectations of +0.4 to 40.5.

Japan Mar bankruptcies fell -13.15% y/y, the biggest decline in 6 months.

Speaking Thursday night, Fed Chair Yellen said that she continues to see some slack remaining in the U.S. labor market even as the economy shows “tremendous progress” following the financial crisis.  She added that the Fed will start unwinding assets from its balance sheet when interest rates are a bit higher.