Closed in NY at $1.23668, after rate was pressed to extended lows of $1.2361. Rate came under renewed downside pressure in early trade, the rate easing to an extended low of $1.2358, as it took its early lead from the sell off in AUD (Tr.Sec.Martin comment on the Australian deficit), but demand placed ahead of reported barrier interest at $1.2350 proved strong enough to cushion the early selling. Sovereign buys of Aussie into the dips lows allowed EUR/USD to track the Aussie recovery, the rate pushing to Asian afternoon highs of $1.23913, with early Europe extending the move to $1.2393. German retail sales data due for release at 0600GMT, ECB Draghi at EU Parliament at 0700GMT, German unemployment at 0755GMT and flash EMU CPI at 0900GMT the morning interest ahead of US ADP jobs data at 1215GMT ahead of Friday’s key jobs report. Second reading of US Q1 GDP at 1230GMT ahead of Chicago PMI at 1345GMT. Markets remain on headline watch concerning Spain and Greece. Bids remain into $1.2350, more at $1.2335/25 ahead of $1.2300. Resistance seen at $1.2400 though main sell interest seen above $1.2440.
EasyForexNews Research Team