Declining Chinese credit supply to drag Shanghai, commodities lower

*Brent Oil seems to be heading lower, commodity currencies should suffer as well.
This could put the natural gas - oil spread in play, buying natural gas, selling oil. Physical raw material demand is slowing, (Dry Freight Index, gas prices) speculative positions should be at risk.

* US bond yields remain offered, despite strong incoming data. Reason? Official accounts are putting cash back into the yield curve.

* Jpy volatility set to increase.
With the change of the Japanese government, leading to a less interventionist driven MOF/BOJ, there is some talk that the "Usd/Jpy put", will dissappear. Underlying Jpy strength should remain a theme. With heavy positioning on the other side from leveraged accounts as well as Japanese retail, watch out (or profit) from a swift increase in volatility as these accounts try to push the market but run the risk of getting stopped out in a violent fashion.
The main reason being a refocusing towards domestic demand from export demand. In essence a shift from Corporates towards households.


* Position and position changes
-Closed my long Usd/Chf
- Closed my long SAS Airline stock
- Opened long Eur/Huf
- Opened long Eur/Sek




As usual, good luck







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