Opened at $1.2550 after $1.2518/64 overnight range. Muted flows and limited appetites were the order of overnight markets with euro finding support from Asian sovereign demand off the low, returning pair to $1.2550. Euro tested cautiously lower, easing to $1.2525 before gaining some traction higher as modest demand emerged. Announcement of ECB collateral changes coincided with a euro scramble higher that saw models and leveraged accounts as euro buyers, the push above overnight highs allowing a scramble that stalled at $1.2583 after offers were filled. Euro eased slowly from there, leaking back to $1.2519 by the London fixing. Euro recovered slowly from there, regaining $1.2545 by the London close but gains extending to $1.2570 by mid-afternoon, but amid slight flows.
EasyForexNews Research Team