Opened early Europe at $1.2292 EUR/USD closed in NY at $1.2303 after rate had recovered from lows of $1.2270 to $1.2330 in this session (Europe morning low $1.2249). Rate marked highs into Asia at $1.2305 before continuing to slip lower, meeting initial support into $1.2290. Release of weaker than forecast China PMI data provided the added weight to take the rate to session lows of $1.2281. Rate recovered to $1.2295 as HSBC China PMI data showed improvement, with rate settling between $1.2290/95 ahead of the European open. US name demand for EUR/JPY into Europe took rate back above $1.2300, with middle eastern demand extending the move to an eventual high of $1.2337, after stops above $1.2330 were triggered. Rate eased to $1.2320 before dropping to $1.2293 as market reacted to released comments from ECB Weidmann. As traders realized comments came from an old Jun 29 interview, released for today’s Bundesbank 55 year anniversary, took rate back above $1.23, settling between $1.2305/20 ahead of the NY open. Attention turns to the FOMC after the Europe close.
EasyForexNews Research Team