Opened early Europe at $1.2175, EUR/USD closed in NY at $1.2180, off lows of $1.21335, following a whippy session driven by ECB Draghi’s press conference which had seen rate spike to $1.2406 on anticipation of announced euro support. However, as had been noted in recent sessions the market had left itself open to disappointment, Draghi comments that the ECB ‘may’ buy bonds was not as strong as the market was wanting. Asia moved into a typical pre NFP market with trade overnight contained within a tight $1.2167-86 range. Asian sovereign demand into Europe provided the early lift as rate began to extend its recovery off Thursday’s lows, the move up through $1.2200 laboured but continual buying saw rate claw its way to $1.2208. Rate dipped under $1.22 on release of soft French and Italian services PMI, bouncing back as Germany and EMU came in stronger. Rate traded to $1.2218 before meeting offers between $1.2215/25, with some talk of Dutch name sales. Rate extended highs to $1.2223 late morning, traders reporting good liquidity in the move.
EasyForexNews Research Team