Wednesday: midweek data releases....>

US DATA PREVIEW: Wednesday: midweek data releases pick up in earnest and include

Markit Services and Manufacturing Index data, FHFA Home Price Index, new home

sales and building permit data for September. Fed speakers include Atlanta Fed

President Bostic, St Louis Fed President Bullard. US Treasury will auction $19B

2Y FRN and $39B 5Y notes.

- Morgan Stanley economists anticipate the September new home sales to come out

"sales mostly flat" ... "rising just 0.2% to an annual pace of 630,000 units."

MS cited "key housing variables...have been somewhat positive in September, with

both the home buying conditions index in the University of Michigan survey and

the Mortgage Bankers Association's loan application volume index rising after a

series of declines." MS adds they "expect higher mortgage rates to continue

weighing on sales throughout the end of the year."

- RBS NatWest economists estimate the September sales figure to have retreated

"from to a seasonally adjusted annualized level of 629,000 units in August to

595,000 units." While "new home sales have averaged 639,000 annualized units, up

about 4.5% from last year's average".