Closed in NY at $1.3402 after rate had recovered from a NY afternoon dip to $1.3482. Rate had seen lows earlier in the day of $1.3357, lifting into early NY to $1.3428. Euro buoyancy during the NY session was mainly provided by demand for euro-yen, the yen getting generally pressed lower on reaction to US Tsy Lael Brainard comments supporting Japan’s efforts to end deflation. Rate dipped to $1.3394 in opening Asian trade before picking up fresh demand, linked to euro-yen demand from a returning Tokyo market, lifted the rate back to $1.3412. However, momentum quickly faded, leaving the rate to drift off through the balance of the overnight session to $1.3378. Rate seen holding heavy into early Europe. A light data calendar for the Eurozone Tuesday though focus will be on ECB Draghi’s visit to the Spanish parliament (due to speak at 1430GMT). Euro-dollar bids seen between $1.3380-70 ($1.3370 76.4% $1.3357-1.3428), a break to open a deeper move toward $1.3357, with bids seen from here into $1.3350. Below and rate can ease on toward Monday’s lows of $1.3325. Resistance $1.3400/10 ahead of stronger interest between $1.3425/30.
EasyForexNews Research Team