Opened early Europe at $1.2640, EUR/USD closed in NY at $1.2628, just off late session highs of $1.2635 after rate was driven higher on reports that G20 were preparing coordinated action to provide liquidity if needed after the Greek election. Rate continued the pullback in early Asia, easing to a low of $1.2614 as rate also reacted to soft Asian equity markets. Rate met willing buyers into the dip, the recovery gaining a boost as USD/JPY was sold off hard after the BOJ left rates unchanged, taking EUR/USD to session highs of $1.26474 into Europe. Rate drifted off highs as early Europeans sold into the recovery, the downside momentum gathering pace as rate took its lead from a sharp pullback in cable as it reacted to the announcement by the BOE of the ECTR auction. EUR/USD met strong demand at the overnight low, bouncing back to $1.2640 before settling around $1.2630. Market has been fairly subdued with traders taking to the sidelines ahead of this weekend’s Greek election.
EasyForexNews Research Team