>>> Camaieu could be sold in 2017; Lazard appointed to renegotiate debt – report

Camaieu could be sold in 2017; Lazard appointed to renegotiate debt – reported rumour

Camaieu, a French retailer of women's wear, could be sold by private equity sponsor Cinven at the beginning of next year, French daily L’Agefi reported, citing information from Challenges.

The unsourced report said that several offers have already been submitted to Cinven but none of them value the target at more than EUR 1bn.

According to the report, Cinven previously appointed Lazard to renegotiate Camaieu's EUR 800m debt pile. The company did undergo a debt restructuring.

L'agefi

>>> Hinkley Point: legal opinion commissioned by Greenpeace says EC likely to b

Hinkley Point: legal opinion commissioned by Greenpeace says EC likely to block any state aid to EDF

The European Commission would very likely block any financial assistance from the French government to Electricite de France [EPA: EDF] to help with the French energy company’s proposed construction of the Hinkley Point C nuclear power plant in the UK, the Financial Times reported.

The newspaper cited a legal opinion from the law firm Monckton Chambers, which was commissioned by the environmental activist group Greenpeace and Ecotricity, an alternative energy company.

The government of France is discussing the potential financial aid for EDF this week, the article said, noting that EDF CEO Jean-Bernard Levy has indicated that new state aid would be required before the company can make a final decision on whether to proceed with the GBP 18bn (EUR 22.84bn) nuclear project.

Monckton Chambers said all options for the French government to assist EDF financially would be deemed to be state aid, which would be subject to an EC review. Any argument that such state aid would be compatible with the European Union’s internal market would be difficult to make, the barristers said.

EDF is to hold a board meeting in Paris today, 22 April, the item said. However, people close to the company said they believe the company is unlikely to make a final decision on Hinkley Point at the meeting, according to the newspaper.

The EC and EDF did not reply when asked for comment, the article said.

>>> Coca-Cola Could Be the Next Big Target for AB InBev: Bernstein

Coca-Cola Could Be the Next Big Target for AB InBev: Bernstein

(Bloomberg) -- Coca-Cola could be the next big target for ABI to create MegaBev, they also may look at acquiring the remaining Castel shares not held by SAB, beer business of Diageo and Efes, Bernstein says in note.
Says ABI recently mentioned a new incentive plan called Dream 2020, plan is for ABI to achieve revenues of $100b by 2020
ABI has $43.6b of rev.in 2015, allowing for disposals, PF MegaBrew would have ~$56b of consolidated rev. in 2015
Leaves a “gap” of $44b which would need to be bridged
With 2015 rev. of >$44b, Coke is big enough to help ABI bridge this gap to $100b in rev.
Buying whole of Diageo would fill this gap, but premium spirits less attractive then beer

(BofA-ML) The Flow Show : Cash to Credit

>>> Asset Class Flows
- Equities: $7.3bn outflows (largest in 9 weeks) ($4.3bn ETF outflows and $3.1bn mutual fund outflows)
- Bonds: $4.9bn inflows (inflows in 7 of past 8 weeks)
- Precious metals: first outflows in 15 weeks (albeit small $38mn)
- Money-markets: big $30bn outflows

>>> Equity Flows
- Europe: $2.1bn outflows (11 straight weeks = longest streak since May’10)
- Japan: $2.6bn outflows (largest outflows since Nov’14) (6 straight weeks) (longest streak since Feb’12)
- EM: $0.3bn inflows (first inflows in 4 weeks)
- US: $4.2bn outflows (largest in 9 weeks)
- By sector, 9 straight weeks of inflows to REITs ($0.4bn); financials eke out first inflows ($0.2bn) in 6 weeks

>>> Fixed Income Flows
- $0.9bn outflows from Govt/Tsy funds (9 straight weeks)
- $1.3bn inflows to EM debt funds (9 straight weeks)
- $2.9bn inflows to IG bond funds (7 straight weeks)
- $0.2bn inflows to TIPS (10 straight weeks)
- $0.8bn inflows to HY bond funds (inflows in 8 of past 9 weeks)
- 31 straight weeks of inflows to Munis ($0.5bn)

>>> Street Pre-Market Indicatuons

ML
ZODIAC: Safran SA is considering an offer for Zodiac Aerospace SA ........+5%
RENAULT: Q1 sales €10.49B vs cons €10.32B, raise growth forecast..........+2%
VOLVO: EBIT 7.7% beat vs cons, margins slight beat, FCF looks weak........+2%
MERCK: We U/G to BUY, raise PO from €92 to €98, valuation attractive......+2%
CELLNEX: Results look good, EBITDA 5.3% beat..............................+2%
MOBISTAR: Revs +.9% vs cons, EBITDA 1.9% beat, reiterates guidance........+1%
HAVAS: Q1 revs €506M vs cons €499.6M, Revenue Growth +3.4% vs cons +2.6%..+1%
UNIBAIL: LFL tenant sales +2.3%- a bit soft vs consensus.................unch
GECINA: €322mn of disposals ex-healthcare. +ve Rental trends in Paris....unch
PEUGOT: French Economy Ministry’s fraud office investigation..............-2%
METSO: Q1 weak across the board, Orders €601m a 9% miss, EBITDA 16% miss..-3%
SSAB: Announces rights issue of about SEK 5bn, Q1 sales in line...........-3%
SAFRAN: considering an offer for Zodiac, deliberations in early stages....-3%
KERING: Q1 sales 2% below consensus and comp growth was +4%...............-4%
DAIMLER: #s slight beat,U.S. DOJ requests investigation on emissions......-5%
shore
PREM FOODS - Enters relationship agreement with Nissin....................UNCH
ULTRA ELECTRONICS - Gets a 9.5m extension contract with MOD................+1%
SAGA - Acromas sells entire holding of 352.65m shares at 195p in placing...MKT
CERILLION - H1 trading inline with expec with revs +11% £6.9m.............UNCH
BOWLEVEN - granted licence extension to its Bomono operations..............+1%
UBM - acquires Business Journals Inc for $69m.............................UNCH
REVOLUTION BARS - preparing to open three new bars........................UNCH
Upgrades/Downgrades:
Sainsbury Raised to Buy vs Hold at Deutsche Bank
Victrex Cut to Neutral vs Outperform at Exane
AFC Energy Rated New Buy at Cantor; PT 77p
Hochschild Mining Cut to Hold vs Add at Numis
Sthree Raised to Outperform vs Neutral at Credit Suisse
Northgate Rated New Buy at Citi, PT 600p
Persimmon Raised to Hold vs Sell at Liberum
Barratt Raised to Hold vs Sell at Liberum
Morrisons Cut to Sell vs Hold at Deutsche Bank
MainFirst Pre Mkt Indications
*DAIMLER-Ebit 2.68b(2.6),Sales 35b(36.2),Sees '16 Revs up slight....-4.5%
*KERING-Sales 2.72b(2.78),SG 4%(5.6),Gucci/Bottega weak,HK weak.....-5%
*PEUGEOUT-French fraud office raided premises on emissions..........-2%
*SAFRAN-To weigh bid for Zodiac(+5%) Aerospace tie-up(Not happening)-2%
*VOLVO-NI 3.77b(3.13),Sales 71.7b(71.1),Op Inc Ex 5.34b(3.92).......+2%
*SIEMENS-CEO sees no job loss due to Digitalization- Bild...........+0.5%
*MOBISTAR-Rev 309.3m(305.6),S/Rev 272.4m(270.9),Capex 24.3m(29.5)...+1%
*FERRAGAMO-Says CEO Michele Norsa wants to step down................-4%
*THALES-Alenia Space targets 10% sales growth in 2016 - Echos.......+1%
*VISCOFAN-Net Inc 27.3m(29.5),Ebitda 49.1m(51.84),Short Int 1.3%....-1%
*RENAULT-Q1 Rev 10.49b(10.22),Confirms FY targets...................+1%
*ASMI-Q1 Sales 142m(141),Ebit 18.78m(11.1),Sees stronger H2.........+2%
*METSO-Sales 601m(661),Ebita 56m(64),Margins 9.3%(9.7),o/lk unch....-3%
*SABADELL-Net 252m(228.8),Bad Loans Ratio 7.5%,CET1 11.8%...........+0.5%
Investec
* DAIMLER-Q1 rev 3% miss,ebit ahead,reit guidance.Weaker on emissions news..-5%
* EDF-French Economy Minister and PM disagree over need for bailout(Echos)..-2%
* FERRAGAMO- CEO Norsa wants to step down, will stay until successor found..-3%
* GECINA-Q1 recurrent net +16%, driven by aqns, confirms targets............U/C
* HAVAS-Q1 org rev +3.4%,says in line,looks forward w/confidence............U/C
* KERING-Q1 sales +3.1%(est +4.7%), Puma in line, luxury +2.6% (est +5%)....-3%
* METSO-Q1 net sales 10% light, sees conditions somewhat weaker.............-5%
* PEUGEOT-confirms offices raided on emissions test results.................-3%
* RENAULT-Q1 rev €10.49bn(est €10.22bn),confirms tgts, sector weaker today..-1%
* SABADELL-Q1 NII small beat, net €252m (est €229m).......................+0.5%
* SAFRAN-said to weigh bid for ZODIAC AERO(+10%), talks at early stages.....-2%
* SSAB-Q1 sales in line,ebitda ahead,raises cost tgts.SEK5bn rights issue..+1%??
* STROEER-issues strong response to Muddy Waters claims.....................+2%
* TEF D’LAND-sells passive tower infrastructure for €587m...................+2%
* UNIBAIL-Q1 turnover +5.8%, no other details...............................U/C
* VISCOFAN-Q1 ebitda €49.1m(cons €51.8m), net €27.3m(est €29.5m)............-2%
* VOLVO-Q1 rev in line, profit beats on capital gain,u/lying looks in line..-1%
Other news
* SWEDBANK-names Birgitte Bonnesen as new CEO
* VW-confirms agreement on class action suits, sees settlement in weeks.
* BOUYGUES-Martin Bouygues to open debate on succession in months.
* AMERISUR-Jaquarete 1 well (Paraguay) spuidded. Results due in 40 day.....unch
* ASHTEAD-Utd Rentals rally continues(+3% from UK close)....................+2%
* GOOCH&HOUSEGO-Wins Queens award for Enterprise for Fiber-Q...............unch
* HAMMERSON-Signs £420m revolving credit facility..........................unch
* HISCOX-Appoints new CFO, Akbar Hussain(from Prudential)..................unch
* PREMIER FOODS-Signs relationship agreement with Nissan.. ..................+1%
* ROYAL MAIL-Managers vote to go on strike over pay row.....................-2%
* SAGA-Acromas sells entire stake(352m shs)@195p.Non-Ex c/man bought 2.5m...+1%
* UBM-Buys Business Journals for $69m (cash)...............................unch
* ULTRA ELEC-Awarded £9.5m contract extension with MoD.....................unch

>>> What to look at today - 22nd of April 2016

Dow-0.63% S&P-0.52%% Nasdaq-0.05% Russell-0.57%
US Market closed lower, weakness can be attributed to retreating oil prices, mixed earnings results, and the underperformance of the heavily-weighed financial sector (-1.0%). ECB President Draghi struck a dovish tone in his remarks as he reiterated that rates will remain at their present levels or lower for an extended period of time. Furthermore, Mr. Draghi said financing conditions in the eurozone improved in March, but the central bank head believes that inflation could turn negative in the coming months. By the end of the session, nine sectors traded in negative territory with countercyclical telecom services (-2.7%), utilities (-2.2%), and consumer staples (-1.7%) outpacing the losses in the broader market. Meanwhile, financials (-1.0%), and energy (-0.5%) registered slimmer losses. On the flip side, the heavyweight health care space (+0.6%) ended its day as the lone advancer. Volume were in line with average at 987mil shares. US After Hours Earnings Movers : AMD +23.3%, PACB +5.5%, SKX +4.9%, HBI +4.7%, SWN +4.5%, NSC +4.4%, MXIM +4.2%, PFPT +3.4%, NSU +3.3% -ve : LAKE -16.1%, SAM -11.7%, MSFT -5.9%, GOOG -5.8%, V -4.9%, SBUX -4.2%, TRN -2%, HA -1.1%, (Inter Parfums reports in-line Q1 sales; reaffirms 2016 guidance), SHLD +8.8% on stores closing, CXRX +8.2% ons strategic alternatives, MA-2.3% After Visa. Asian equity markets are tilting lower in the final session of the week, as profit-taking interspersed with disappointing US afterhours earnings reports from tech and consumer bellwether names Alphabet, Microsoft, Visa, and Starbucks. USD/JPY spiked up about 80pips in the final 90 minutes of Tokyo trade after reports surfaced noting that BOJ officials are considering lending to banks at negative rates. the PBoC has weakened the Yuan for the 2nd straight day after previously strengthening the currency for 3 consecutive sessions. China Commerce Ministry researcher remarked that Q1 GDP - even at a 7-year low - shows that a severe downturn has been avoided with recovery of the property sector playing a key role.

Nikkei +0.60% Hang Seng-0.93% Shanghai -0.42%

Eur$ 1.13 CNH 6.4915 CNY 6.4865 JPY 110.25 GBP1.4359 CHF 0.9744 RUB 66.3520 WTI 43.85 (+1.55%)

S&P+0.16% EuroStoxx-0.36% Dax-0.48% SMI -0.05%

Macro :
- Music Star Prince Has Died at His Home in Minneapolis: AP
- BOJ Officials Said to Eye Possible Negative Rate on Loans
- Wall Street Bonus Pay Restricted Under Regulators’ Proposal
- Japan Stocks Jump on Report BOJ Considering Support for Banks


Keep an eye on :
- ABI BB : Sens. Lee, Klobuchar Write DOJ on SABMiller-InBev Merger
- ASML NA : ASM International Sees Much Stronger 2H vs 1H 2016
- BA US : Boeing Said to Consider New 737 Model: WSJ
- BCP PL : BCP Shareholders Approve 1-for-75 Reverse Stock Split: Spokesman
- BMW GY : German Auto Report Said to Show Further Emissions Issues: HB
- DAI GY : Daimler: U.S. DOJ Requests Internal Investigation on Emissions
- DAI GY : Daimler 1Q Profit Beats, Rev. Misses; Guidance Reiterated
- DBHN GY : Deutsche Bahn Seeks IPOs for Schenker, Arriva: Sueddeutsche
- EDF FP : EDF Confirms Xavier Girre As Group Finance Chief
- EDF GY : EDF Unions Threaten Court Action on Hinkley Point Project: AFP
- EDF FP : Hollande, Macron Disagree on EDF Bailout, Les Echos Says
- EGP PL : Mota-Engil Issues EU32m of 4-Year Bonds in Private Placement
- FERR IM : Ferragamo Says CEO Michele Norsa Wants to Step Down
- FNAC FP : Fnac 1Q Rev. Down 0.6% to EU839m, Says Momentum in France Sales
- GFT FP : Gameloft sees Amber Capital increase stake to 15% hoping for white knight or improved bid - LEs Echos
- HAV FP : Havas 1Q Revenue Up, Says Satisfied With Level Of Organic Growth
- ITP FP : Interparfums Confirms Full-Year Sales Target of EU340m
- KER FP : Kering 1Q Gucci, Bottega Veneta Comparable Sales Miss Ests.
- MELE BB : Melexis 1Q Net EU22.8m vs EU27.1m; Financial Outlook Unchanged
- MOBB BB : Mobistar 1Q Rev. Tops Est.; Adj Ebitda EU53.8m; Confirms Outlook
- OKDVV FH : Oriola-KD 1Q Revenue EU401.3m; Sees FY Sales at 2015 Level
- UG FP : PSA Emissions Raid Related to Tests on Three Cars: AFP
- RNO FP : Renault First-Quarter Sales Rise on Europe’s Appetite for Espace
- SAX GY : Stroer: Muddy Waters Report ‘Far Fetched’ and ‘Groundless’
- SHP LN : Shire CEO Pay Opposed by Shareholder Advisory Firm PIRC
- SIE GY : Siemens CEO Sees No Job Loss Due to Digitalization: Bild-Zeitung
- SSABA SS : SSAB Launches Rights Issue of About SEK5b
- SSABA SS : SSAB 1Q Loss Smaller Than Estimated; Expands Cost Cuts
- TKTT GY : Tarkett 1Q Rev. EU576.3m, Est. EU561.3m
- TEF SM : Telefonica mulls Mexican IPO as part of O2 contingency planning - MergerMarket
- HO FP : Thales Alenia Space Targets 10% Sales Growth in 2016: Echos
- RIGN SW : Transocean Defers Delivery, Final Payment for Two Drillships
- UL FP : Unibail-Rodamco 1Q Gross Rental Income EU456.6 Mln vs EU419 Mln
- VOLVB SS : Volvo 1Q Profit Beats Est., Revenue In Line
- VRAP FP : Vranken-Pommery 1Q Sales Rise 5.2% to EU48.9m
- VIV FP :
- VOW3 GY : U.K. Finds No Further Evidence of VW-Like Emissions Cheating
- ZC FP : Safran Said to Weigh Bid for Zodiac in French Aerospace Tie-Up

>>> Europe : Brokers Upgrades & Downgrades - 22nd of April 2016

>>> Up
*BARRATT RAISED TO HOLD VS SELL AT LIBERUM
*GAMESA RAISED TO BUY VS NEUTRAL AT GOLDMAN
*GASLOG RAISED TO BUY VS HOLD AT JEFFERIES
*GOLAR LNG RAISED TO BUY VS HOLD AT JEFFERIES
*NOVARTIS RAISED TO EQUALWEIGHT VS UNDERWEIGHT AT BARCLAYS

>>> Down
*ACTELION CUT TO UNDERWEIGHT VS EQUALWEIGHT AT BARCLAYS
*ARCADIS CUT TO NEUTRAL VS BUY AT SNS; PT TO EU14 VS EU20
*ERICSSON CUT TO ADD VS BUY AT ALPHAVALUE (YESTERDAY)
*ERICSSON CUT TO HOLD AT NORDEA
*ERICSSON CUT TO MARKETPERFORM VS OUTPERFORM AT BERNSTEIN
*FAURECIA CUT TO UNDERWEIGHT VS EQUALWEIGHT AT BARCLAYS
*GAS NATURAL CUT TO NEUTRAL VS BUY AT GOLDMAN
*HOCHSCHILD MINING CUT TO HOLD VS ADD AT NUMIS
*INDUTRADE AB CUT TO SELL AT NORDEA
*INGENICO CUT TO UNDERWEIGHT VS EQUALWEIGHT AT MORGAN STANLEY
*PERNOD RICARD CUT TO ADD VS BUY AT ALPHAVALUE
*PERNOD CUT TO HOLD AT HSBC
*STATOIL ASA CUT TO ’HOLD’ AT DNB MARKETS
*YARA CUT TO HOLD AT ARCTIC SECURITIES
*YARA INTERNATIONAL CUT TO ’SELL’ AT DNB MARKETS

>>> PT Change



>>> Initiation
*FINGERPRINT CARDS RATED NEW SELL AT UBS; PT SEK375
*NORTHGATE RATED NEW BUY AT CITI, PT 600P

>>> Call
>> Stock
*VEOLIA ADDED TO CONVICTION BUY LIST AT GOLDMAN

Les Echos : Bolloré n’exclut plus la fermeture de Canal+

Vivendi a levé une ambiguïté : on pourra toujours s’abonner à BeIN Sports en solo même si un accord d’exclusivité est signé entre Canal+ et le groupe qatari.
Une menace et une concession. A l’occasion de l’Assemblée générale de Vivendi ce jeudi, Vincent Bolloré, le président de son conseil de surveillance, a prévenu qu’il n’était pas interdit d’imaginer une fermeture de la chaîne cryptée française Canal+ si ses pertes n’étaient pas jugulées. En revanche, le groupe a levé une ambiguïté afin de se donner plus de chance d’obtenir le feu vert de l’Autorité de la concurrence pour son accord d’exclusivité avec BeIN Sports. On pourra toujours s’abonner aux chaînes sportives du groupe qatari séparément même s’il y a accord, a expliqué Stéphane Roussel, DG en charge de l’opérationnel chez Vivendi.
« On dit que je suis la cause des pertes, mais j’en suis la conséquence et peut-être la solution, » a d’abord expliqué Vincent Bolloré avant de faire un dégagement sur Canal+ sur un ton assez libre. Pour l’homme d’affaires breton, Canal+ est un maillon essentiel si Vivendi veut être « ce groupe européen capable de rivaliser avec les géants de l’Internet », actuellement tous américains et asiatiques. Cependant, Vivendi est majoritairement détenu par des fonds anglo-saxons, et il n’est pas question que les six chaînes françaises Canal+ (Canal+, Canal+ sport, Canal+ cinéma, Canal+ séries...) continuent à perdre 410 millions en résultat opérationnel, comme cela devrait être le cas cette année, a expliqué Vincent Bolloré.
« Si on ne peut pas avoir BeIN Sports , on ne pourra pas financer indéfiniment les pertes des chaînes de Canal, a-t-il alerté en direction de l’Autorité de la concurrence, des fans de foot, des instances de direction des sports, qui vendent cher leurs droits de diffusion, ainsi que du milieu du cinéma, dont Canal est le principal bailleur de fonds. A Dieu ne plaise, mais notre activité de fabrication de chaînes ne marche pas et cela pourrait s’arrêter ». Selon lui, on pourrait imaginer un groupe Canal+ avec Canal Overseas (1,5 milliard de revenus, 250 millions de bénéfices), CanalSat (1,5 milliard de revenus et 250 millions de profits), les chaînes gratuites (« D8 et D17 sont rentables, la seconde plus que la première », a-t-il dit), StudioCanal (500 millions de revenus, 50 millions de profits), mais sans la chaîne cryptée et ses déclinaisons..
25 millions de pertes pour iTélé
Le retour à l’équilibre de Canal en France dépendra en grande partie de l’accord avec BeIN. La confirmation que l’exclusivité ne serait pas totale, sûrement sous la pression de l’Autorité de la concurrence et des concurrents de Canal dans la télé, risque d’inquiéter les investisseurs. « On pourra continuer à s’abonner à BeIN en solo mais ce sera Canal quand même qui enverra la facture aux clients, a précisé Stéphane Roussel en marge de l’AG. On pourra leur faire des propositions. Nous voulons donner plus de lisibilité à notre offre sport, la structurer un peu comme celle de Sky en Angleterre ». Stéphane Roussel est confiant dans le fait que l’investissement (entre 1,5 milliard et 2 milliards) devrait être rentable en 5 ans.
Vincent Bolloré a assumé son manque de popularité au sein de la chaîne cryptée, qu’il pousse à faire des économies. « Quand vous envoyez 50 personnes au Festival de Cannes au lieu de 469 personnes, vous n’êtes pas populaire », a-t-il ironisé en expliquant que le groupe avait 1.350 informaticiens et qu’il fallait rationaliser « sans faire de plan social ».

Alors qu’il a justifié ses investissements dans Mediaset et Telecom Italia notamment par le fait que l’Italie se réformait et que « l’écart se creusait avec la France », Vincent Bolloré a également abordé le cas iTélé, la chaîne info du groupe. « Les pertes de iTélé totalisent 16 millions en 2014, 20 millions l’an dernier et 25 millions en 2016 et ce avant l’arrivée de concurrents qui ne sont pas des manchots comme LCI, du groupe TF1, et la chaîne publique payée par l’Etat, c’est-à-dire nous, a expliqué Vincent Bolloré. On veut des résultats au moins positifs. »
Vincent Bolloré a conclu en expliquant qu’il trouvait « intéressant sur le plan moral » de créer un champion mondial des contenus qui soit français ou latin. Il souhaite que ce soit également intéressant financièrement. « J’ai mis 4 milliards d’euros », a-t-il dit en disant espérer que « ce n’est pas de la daube, mais ça peut m’arriver de me tromper »

>>> Gameloft sees Amber Capital increase stake to 15% hoping for white knight or

Gameloft sees Amber Capital increase stake to 15% hoping for white knight or improved bid 

Gameloft [EPA:GFT], the listed French mobile games developer, saw hedge fund Amber Capital announce that it has increased its shareholding in the company to 14.62%.

A report from French daily Les Echos said that the announcement was made to stock market regulator AMF.

Gameloft has received an unsolicited takeover offer from Vivendi [EPA:VIV] at EUR 7.20 per share.

According to the report, which did not reveal its source of information, Amber is hoping for an improved bid from Vivendi or the arrival of a white knight.

Les Echos

>>> Asian Update

Asian Market Update: Speculation over more BOJ easing on the rise

***Economic Data***
- (JP) JAPAN APR PRELIMINARY PMI MANUFACTURING: 48.0 V 49.5E (2nd consecutive contraction; Biggest decline in 3 years)
- (JP) Japan Feb Tertiary Industry Index M/M: -0.1% v -0.5%e
- (TW) Taiwan Mar Unemployment rate Y/Y: 3.9% v 3.9%e
- (US) NORTH AMERICA MAR SEMI BOOK/BILL RATIO: 1.15 V 1.05 PRIOR; 3rd straight month above parity

***Index Snapshot (as of 04:00 GMT)***
- Nikkei225 -0.1%, S&P/ASX -0.5%, Kospi -0.5%, Shanghai Composite -0.6%, Hang Seng -1.0%, Jun S&P500 flat at 2,083

***Commodities/Fixed Income***
- June gold flat at $1,250/oz, June crude oil +1.1% at $43.67/brl, May copper -0.4% at $2.24/lb
- (CN) China MoF sells 30-yr bonds at yield 3.52%
- USD/CNY: *(CN) PBOC SETS YUAN MID POINT AT 6.4898 V 6.4803 PRIOR; 2nd straight weaker setting; weakest setting in a week
- (CN) PBOC to inject CNY240B in 7-day reverse repos; Injects net CNY680B this week v injected CNY70B prior
- (JP) BOJ offers to buy ¥350B in 1-3yr JGBs, ¥440B in 3-5yr JGBs, ¥220B in 10-25yr JGBs and ¥180B in JGBs with maturity over 25-yr
- (AU) Australia MoF (AOFM) sells A$800M in 1.75% 2020 Bonds; avg yield: 2.157%; bid-to-cover: 5.14x

***Market Focal Points/FX***
- Asian equity markets are tilting lower in the final session of the week, as profit-taking interspersed with disappointing US afterhours earnings reports from tech and consumer bellwether names Alphabet, Microsoft, Visa, and Starbucks. US equity futures and commodities are little changed, while FX majors saw the most pronounced volatility late in the session in the USD/JPY pair as it spiked up some 80pips to 110.20. AUD/USD and NZD/USD traded in roughly 40pip ranges above 0.7740 and 0.69 respectively.

- USD/JPY spiked up about 80pips in the final 90 minutes of Tokyo trade after reports surfaced noting that BOJ officials are considering lending to banks at negative rates. This stoked speculation that the BOJ will implement further easing measures when it meets next week and updates its projections for growth and inflation. Economic data out of Japan released today would certainly justify a more proactive approach, as preliminary manufacturing PMI for April plunged to a 3-year low. Output, New Orders, export orders, and input prices all decreased at a faster rate, implying lower global demand and persistent deflationary pressures. Resident economist pointed to "fastest fall in international demand since December 2012, and following the two earthquakes on the island of Kyushu (one of Japans key manufacturing regions)." Separately, Fin Min Aso said it was still too early to estimate just how much impact last week's earthquake had on economy.

- In China, the PBoC has weakened the Yuan for the 2nd straight day after previously strengthening the currency for 3 consecutive sessions. Open market operations also remained aggressive, as PBoC's net injection for the week was nearly 10x that of last week. Despite the more aggressive measures, China Commerce Ministry researcher remarked that Q1 GDP - even at a 7-year low - shows that a severe downturn has been avoided with recovery of the property sector playing a key role. Also of note, local press indicated that Q1 urban unemployment remained just above 4%, with some 3.2M new urban jobs created in the quarter.

***Equities***
US equities / ADRs:
- AMD: Reports Q1 -$0.12 v -$0.13e, R$832M v $818Me; +21.4% afterhours
- CTMX: CytomX and AbbVie announce strategic collaboration for Probody Drug Conjugates; CTMX to receive $30M upfront payment and eligible for additional $470M; +7.8% afterhours
- SKX: Reports Q1 $0.63 v $0.53e, R$979M v $890Me; +7.5% afterhours
- SHLD: To close stores to accelerate transformation and return to profitability; Closing 68 Kmart stores and 10 Sears stores; +6.3% afterhours
- HBI: Reports Q1 $0.26 v $0.22e, R$1.22B v $1.22Be; +5.5% afterhours
- NSC: Reports Q1 $1.29 v $0.98e, R$2.4B v $2.40Be; +3.5% afterhours
- SLB: Reports Q1 $0.40 v $0.41e, R$6.52B v $6.79Be; -1.2% afterhours
- SBUX: Reports Q2 $0.39 v $0.39e, R$4.99B v $5.02Be; -4.0% afterhours
- V: Reports Q2 $0.68e v $0.66e, R$3.63B v $3.57Be; -4.5% afterhours
- MSFT: Reports Q3 $0.62 v $0.63e, R$22.1B (adj) v $21.6Be; Guides Q4 Rev by segment: Productivity $6.5-6.7B, Personal Computing $8.7-9.0B, Intelligent Cloud $6.5-6.7B (implies $21.7-22.4B v $22.7Be); -5.1% afterhours
- GOOGL: Reports Q1 $7.50 (adj) v $7.90e, R$20.3B (including $3.79B of TAC) v $20.4Be; -6.1% afterhours

Notable movers by sector:
- Consumer discretionary: BAIC Motor Corp 1958.HK -3.1% (Q1 result); China Eastern Airlines 670.HK +0.2% (strategic cooperation with Ctrip); CyberAgent Inc 4751.JP +3.0% (H1 result)
- Financials: AIA Group 1299.HK +1.4% (Q1 result); KB Financial Group Inc 105560.KR +1.3% (Q1 result)
- Industrials: China Communications Construction 1800.HK -4.6% (Q1 result); Daelim Industrial Co 000210.KR -5.3% (Q1 result); Mitsubishi Motors7211.JP -13.2% (fuel test information)
- Technology: Toshiba Corporation 6502.JP +1.1% (Westinghouse goodwill write down); Sony Corp 6758.JP -2.9% (revises guidance)
- Materials: Yanzhou Coal Mining Co. 1171.HK -3.5% (Q1 result); Posco 005490.KR +1.0% (Q1 result); Resolute Mining RSG.AU +1.8% (Q1 result)
- Energy: APA Group APA.AU -2.7% (rejects ACCC's conclusion); Santos :STO.AU -0.7% (Q1 result)
- Telecom: China Unicom 762.HK -2.4% (Q1 result)