Canada Q1 current account deficit C$7.18 billion, versus C$4.7 billion expected; prior quarter deficit revised from C$0.71 billion to C$1.01 billion.

ECB ACCOUNTS: There is little evidence that rising energy prices are producing second‑round effects.

MORGAN STANLEY economist Chris Read said a broad slowdown in Australia’s housing market could partly offset concerns that construction costs and rents will continue to push up inf. Read, who also serves as the bank’s equity strategist and Australia economist, said housing inflation is a key worry given the country’s core inf rate remains above the RESERVE BANK OF AUSTRALIA’s target. In a report he wrote that over the coming months the BUZZ will be the extent to which rising energy costs feed into broader inf pressures, and to look to demand indicators for signs of how much firms can pass through costs.