QUICK OVERVIEW

• U,S. nonfarm employment # rose just 69,000 in May, the least in a year. The Unemployment # rose to 8.2.
• U.S. pending home resale’s fell 5.5% following a revised 3.8% gain the prior month. YoY the index rose 14.7 %.
• U.S. economic growth slowed to an annualized rate of 1.9% in Q1 of the year. U.S. personal income rose 0.2% in April, after a 0. 4% in March
• U.S. personal consumption expenditures rose 0.3% in April, following a revised increase of 0.2% in March.
• The U.S. savings rate, or personal saving as a percentage of disposable personal income, edged down to 3.4 percent in April, slightly lower than 3.5 percent in March but still well above the 2.1-percent average rate for all of 2007 before the financial crisis.

• The Economist‏: In China, coffee consumption will grow by an average rate of almost 40% a year from 2011 to 2015.
• China's factory activity contracted for a seventh straight month in May, It fell to 48.4 from April's 49.3.
• China's house prices fell to a 16-month low in May.

• Japan and China will begin direct yen- yuan trading on June 1, Japanese Finance Minister Jun Azumi said Tuesday, abandoning the existing system that determines yen-yuan rates via their U.S.dollar values.

• Japan's industrial production rose 0.2 % in April.

• Capital flight from Spain hits record $66bn..
• The IMF is looking at possible plans for a rescue loan to Spain if that country can't find the cash to bail out its third-largest bank – No wait! The IMF says it has not been asked by Spain for a bailout and has not begun preparing one, IMF spokesman Gerry Rice. Spain yields at 6.576, and the 2-year Schatz now has a negative yield.
• Spain's 17 autonomous communities recorded balanced budgets in Q1 of this year New York

• Mayor Michael Bloomberg is set to propose a ban on the sale of some large-size soft drinks in many locations in the city as part of his drive to fight expanding waistlines in the Big Apple.

• The Chancellor should abandon his cast-iron debt reduction targets and inject up to £6bn into the economy to revive the flagging recovery, according to the the British Chambers of Commerce.

• The Philippine economy bounced back from a lackluster performance last year and grew by an unexpected 6.4 % in Q1 of this year.

• Mexico's economy will grow 3.72 percent in 2012, a slight increase from the 3.62 percent estimated in the previous month, results of a survey by the Mexican Central Bank.

• Italy's unemployment rate hit 10.2% in April, its highest level since January 2004.

• Southern Europe's debtor states must pledge their gold reserves and national treasure as collateral under a €2.3 trillion stabilization plan gaining momentum in Germany.