Archived IMT (2009.11.17)

US Oct Indus production slows to 4-month low of 0.1% vs. exp +0.4% from revised +0.6%, while capacity utilization rose to 70.7 from 70.5. Expect further CAD losses with USDCAD eyeing 1.0615, CADJPY eyeing 83.90. EURGBP extends damage below the 0.89 support after stronger UK CPI, now eyeing 0.881561.8% retracement of the 0.8451-0.9406 move. EURJPY eyes 131.80 target. San Francisco Fed's Yellen saying stocks not massively overvalued is another way of saying liquidity to remain plentiful/rates, which is what she and Feds Lockhart and Rosengren said last week, prompting prolonged US weakness.