Opened early Europe at $1.3173, Euro-dollar closed in NY at $1.3145, having settled mid range after recovering off this session’s lows of $1.3085 and pushing up to $1.3187. Rate eased lower into Asia, touching $1.31144, the move down seen as a ‘normal’ Friday risk off Asian move, but given an added knock on release of weaker than forecast China services PMI. Rate recovered through the balance of the session, though traders noted thin, pre NFP conditions, extending to $1.3152 before early Europe took it on to $1.3156. Rate pulled back to $1.3125 before fresh demand emerged, a mix of Russian demand initially, followed by model interest and eventually reports of middle eastern buys. Rate moved up to the $1.3165 area with rate slowly clawing its way higher through the session to $1.3182, with release of weaker than expected services PMI’s in the Eurozone, along with disappointing EMU retail sales only causing a slight counter. Rate retained an underlying firm tone in late morning dealing, but traders note decent supply sitting above $1.3200. Focus on NFP at 1330GMT.
EasyForexNews Research Team