The dollar regained some slight ground in Asia, but remains weak overall with position adjustment ahead of the U.S. jobs data taking AUD, EUR and GBP lower during the session. USD-JPY consolidated in a tight range of 99.41-94. EUR-USD, which opened just under 1.3400, traded down to 1.3342 before bouncing. Asian stocks were were higher in the afternoon, with some of the indexes paring morning losses, with gains aided by a 67 pt rise in DJIA futures, a positive reaction to the stress test results. The WSJ reports that the Fed sees $599 bln in bank losses, and a worst case capital short-fall of $75 bln at 10 banks. Of note were warnings out of Asia that the market may be getting ahead of itself in its recent performance. China’s Vice Premier said in the FT that the world economy will worsen and HKMA’s Yam is worried about the recent rise in HK asset prices, warning that it does not reflect the outlook for the economy. Oil futures rose above $57 with Venezuela moving to seize oil service companies on Friday. U.S. ten-year bond yields remain near the highest levels since November, at 3.32%.