MNI Global Morning Briefing

     LONDON (MNI) - Europe and much of Asia returns to the fray Wednesday and

there is a heavy data calendar. However, the highlight of the session will

undoubtedly be the Federal Reserve FOMC policy decision.

     The European calendar gets underway at 0700GMT, with the publication of the

French April car registrations data.

     At 0715GMT, the Swiss retail sales data will be published.

     Delayed a day by the May Day vacation, the eurozone PMI data is set for

release from 0715GMT, when the Spanish manufacturing PMI data is published.

     The Italian data is due at 0745GMT, French at 0750GMT, German at 0755GMT

and the amalgamated eurozone data at 0800GMT. Following a sluggish few months,

partly hampered by inclement weather, the market is looking for a modest across

the board pick-up in April.

     At 0830GMT, the UK Markit/CIPS Construction PMI will be published, with

hopes of a rebound after a sluggish Q1.

     --EURO AREA GDP

     The main EMU data comes at 0900GMT, with the publication of the February

employment data and, more importantly, the preliminary flash Q1 GDP data.

     Euro area data released thus far (industrial production, retail sales and

construction) have all captured the growth momentum losing some of its legs. The

market consensus, taken from the MNI survey, looks for a sharp slowdown in

growth to 0.4% q/q in Q1, consistent with an annual rate of around 2.5%.

     Italian flash GDP is expected at the same time.

     Across the Atlantic, the US calendar gets underway at 1100GMT, with the

release of the MBA weekly applications index.

     At 1215GMT, the US ADP Employment Report will be published, followed by the

ISM-NY Manufacturing Index at 1345GMT.

     Two second tier releases round off the US data calendar, with the

help-wanted online index set for publication at 1400GMT and the DOE weekly crude

oil stocks data at 1430GMT.

     --FED POLICY DECISION

     The latest FOMC policy announcement is expected just on 1800GMT, with the

Fed expected to stand pat as focus shifts to the June meeting and an expected

second of 3 or 4 hikes for the year.

     The only overnight data is in Australia, with the release of the AI Group

services index at 2230GMT, followed by the Trade balance and Dwelling Approvals

at 0130GMT.

--MNI London Bureau; tel: +44 203-586-2225; email: les.commons@marketnews.com