Portfolio Performance : -5.16%

Headline News

1. Bank Sector Tracker hit all time low as credit concerns continue
2. The British government said on Monday that it would slow the expansion of biofuels following a report, which they said could increase greehouse gases and food prices
3. Japan June Bank Lending higher by 2% year on year
4. Singapore Sembcorp Marine wins $565 million Rig Order
5. Monster Index for Europe came in flat - jobless stable in Europe
6. Number of Japanese coporate bankruptcies rose 7.1% in June from May
7. Philippines increases transport fares as fuel costs soar
8. UK value of home loans down 44% from a year ago
9. UK May House prices higher by 3.7% year on year from 4.9% growth in April
10. Leading German think tank said that the European construction sector is headed for a sharp slowdown
11. US May Wholesale inventories higher by 0.8% vs 0.7% expected
12. US May pending home sales index fall 4.7% to 84.7 vs 86.4 expected

Expectation for the USD crosses

1. AUD : Neutral
2. GBP : Neutral
3. CAD : Negative
4. JPY : Negative
5. CHF : Neutral
6. EUR : Negative

Bottomline : The equity market is set to rally, which builds the case for a stronger USD. Commodities might be pressure in the short term but I will read too much into a selloff yet. I am still holding on to my long GBP /USD trade