The US equity market has started the week with a correction yesterday. The greenback could get use of the profit taken and this risk aversion sentiment but it is losing ground right now with the green US blue ships future. The market has seen that there can be a chance for taking profit right now and by god's will, it looks that we are to be around these levels for while till new signs of recovery after this recent optimistic rally. The new US session is about to start and we have just had the U.S. Trade deficit release which has grown to $27.58 billion in March and it was expected to be $29.7 billion and Feb trade deficit has revised to $26.13 billion in Feb and it was expected to be 25.97 billion and the trade data were not significant enough to effect in the currencies market.

Yesterday, Bernenke has tried to cool down the market and bring back the confidence to it saying that stress test results were encouraging and the deflation risks are diminishing adding that the US economy is strong supporting the greenback which will remain the worlds first currency and Trichet has tried the same saying that the worst of the global economic recession may now be over.

The Cable has found strong support today from the improving of UK RICS house price index of April which came at -59.9 from -72.1 in March and the market was just waiting for -70 also the trade balance deficit has shrunk in March to 6.8 Billion pound from 7.3 Billon pound in Feb. March UK manufacturing productions output have shrank by just .1% m/m and they were expected to be by -.9% m/m and UK industrial productions of March were expected to come down by .8 but they have shrank by slower pace by. -.6%.these data come after U.K. retail sales figure of British Retail Consortium survey of April which have surged by 4.6% in April y/y from declining in March by 1.2%.

God willing, It is important this week to wait for the release of US retail sales which are expected to come positively in April at .2% m/m from -1.2% in March and the figure excluding the auto sales is expected to come positively at .1% from -.9% in March and we wait by the end of this week for the release of US CPI which is expected to shrink yearly in April by another .4% like March and the core figure is also expected to stand as March at 1.8% even the core CPI is expected to be up by just .2% again in April and also we wait on this same day for the release of US Michigan preliminary reading of May which has improved in April to 65.1 as we have aforementioned.