Opened early Europe at $1.3105, closed in NY at $1.3130, after recovery off earlier Monday session lows of $1.3027 was given a boost through European closing fixes to a high of $1.3142, closing any chart gaps left after rate was marked down into Asian trade Monday. Rate spiked to $1.31379 in Asia, the move influenced by the initial react to the RBA keeping rates on hold, but quickly dropped back as EUR/AUD pressed to fresh record lows (A$1.2042) taking EUR/USD to session lows of $1.3089. Rate recovered, settling between $1.3095/1.3115 into Europe. Leveraged buyers into early Europe took rate thorough overnight highs and on to $1.3169 before meeting Asian sovereign supply which capped. Reversal was given added weight by Russian supply, with rate eventually trading back to $1.3120. Recovery to $1.3160 aided by corporate and middle eastern demand, but upside momentum faded ahead of the earlier high. Late morning release of poor German IP data pressed rate back to $1.3120 but Asian demand was seen providing some buoyancy.
EasyForexNews Research Team