7 Dec Daybook: SPD convention, AU trade, SE home px, MX CPI

AUD responds to weak trade surplus:

Aussie Reverses Gains as October Trade Data Misses All Estimates

Australia Oct. Trade Surplus A$105m; Est. A$1.4b

(Bloomberg) --

Australian Bureau of Statistics report shows Thursday.

• Exports fell 3% from month earlier

• Imports rose 2% from month earlier

• Sept. trade balance revised to A$1.6b surplus from originally reported A$1.75b surplus

This follows yesterday's weak GDP, which could stoke speculation that the RBA may revise near-term growth forecasts downward.

Support levels: 0.7533 (1mth low), 0.75 (psych), 0.74 (psych), 0.7345 (6mth low)

*SWEDEN HOUSE PRICES ROSE 1% IN PAST 3 MTHS VS PRIOR 3 MTHS

*FLODEN: NO REASON TO BE ALARMED YET RE HOUSE MKT MACRO EFFECTS

Home price increase should reduce housing market concerns, open the door for Riksbank to end QE this month. Further out, home px concerns remain, which keeps us on a strategic bearish bias on SEK that we probably won't express until after the Riksbank MPC (20 Dec):

Swedish Housing Supply Surged in November, Booli Says

By Niklas Magnusson

(Bloomberg) --

The number of Swedish apartments up for sale in November was 21,287, or 57% higher than in the same month last year, Booli says.

• Number of Swedish single-family homes up for sale was 13,556 in November, up 25% from the same month a year earlier

• Average selling price for Swedish apartments in Nov. was 3% lower than in same month last year; in Stockholm, apartment prices were 7% lower

• Average selling price for Swedish single-family homes in Nov. was 8% higher than in same month last year; in Stockholm, prices were 1% higher

• Says supply of homes has been unusually high during the autumn