Several positive indicators suggest an optimism surge among investors amid an economic recovery.

[RTFX-Trading]

Several positive indicators suggest an optimism surge among investors amid an economic recovery.

What's new:
Euro zone: PMI manufacturing higher for 7 months.
England: PMI manufacturing at its highest since 12 months.
United States: rising construction spending of 0.80% in April.
United States: moderate reduction of activity in the manufacturing sector recorded in May
United States: GM official bankruptcy in U.S.
United States: S & P at the highest level since December 2007, above its 200 days moving average.
United States: the title of GM withdrawn from DowJones index, replaced by Cisco. Travelers companies will also replace Citigroup.

Today:
07h45 Switzerland: 1st quarter GDP, expected -1.50%, previous -0.30%.
08h45 France: producer prices april, expected -0.10%, previous -0.40%.
10h30 UK: Mortgage approvals april, expected 41,000, previous 39,000.
10h30 UK: Mortgage lending april, expected 1.00 million, previous 0.76 million.
11h00 Euro area: unemployment rate april, expected9.10%, previous 8.90%.
16.00 United States: pending homes sales april , expected +0.50%, previous +3.20%.

Rates in Asia and Indices:
EURUSD: 1.4183 - 1.4133.
USDCHF: 1.0717 - 1.0686.
GBPUSD: 1.6466 - 1.6410.
EURJPY: 136.83 - 135.91.
USDJPY: 96.65 - 96.09.
DowJones: 8'721 +2.60%.
NASDAQ: +1.29% 1'774.
S & P 500: 943 +2.58%.
Nikkei: 9'753 +0.77%.
OR: $ 976

Comments:

U.S. stock markets closed sharply higher yesterday, DowJones up 2.60% and the S & P up 2.58%. The S & P closed for the first time since December 2007 over its moving average 200 days, which some analysts see as a sign of further gains.

The publication of several positive indicators and the clarification of the status of number one U.S. auto strengthen investor optimism about a recovery of the economy. This resulted in a return to the appetite for risk, leading to a sharp rise in Australian dollar,New Zealand dollar, the pound sterling and the euro. The Japanese yen and U.S. dollar pay the costs of this renewed optimism. Parities such as GBP/JPY, NZD/JPY and AUD/JPY yesterday showed increases of around 3%.

Besides the hopes of economic recovery, the market expects the next three key events this week: namely the monetary policy meetings of the European Central Bank (ECB) and Bank of England (BOE) Thursday, followed by the US employment report on Friday.
Good Day

Nicolas Longchamp
RTFX Ltd
Head Office
Level 2, Suite 2, The Cornerstone Complex, 16th September Square | Mosta MST 1180 | Malta
Tel:  +356 27 78 01 35
Fax: +356 21 41 24 58
Web: www.rtfx.com

This message and any attachments (the "message") are intended solely for the addressees and are confidential. If you receive this message in error, please delete it and immediately notify the sender. Any use not in accordance with its purpose, any dissemination or disclosure, either whole or partial, is prohibited except with formal approval. The internet cannot guarantee the integrity of this message. RTFX Ltd (and its subsidiaries) shall (will) not therefore be liable for the message if modified. Do not print this message unless it is necessary, consider the environment. RTFX Ltd holds a Category 3 license issued by the Malta Financial Services Authority.