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  • China has announced a change to rural bank reserve requirement ratios. It is all very stimulating - except that it isn't. The change is miniscule in terms of credit flow to the economy, and this should be seen as a rural policy not a monetary policy.
  • Japanese consumer confidence dipped in March, hitting the lowest level since August 2011. Confidence data always needs to be treated with caution, but there was a lack of willingness to purchase consumer durable goods as well (before the consumption tax increase).
  • The US offers the Philly Fed survey of manufacturing (forecast above consensus at 12.0) - manufacturing data has generally been quite positive of late.
  • US Fed Chair Yellen affirmed that she would use monetary policy to support the recovery (although she was hardly likely to suggest she would seek to undermine the recovery). The Beige Book showed increased port activity and an ongoing economic recovery.

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