Closed in NY Friday at $1.3069, off its recovery highs of $1.3090, seen after the release of US jobs data saw pressure resume versus the dollar via softer yields. The risk on tone seen Friday resurrected itself into early Asia allowing rate to edge up to $1.3088 with move seen tracking the early demand for cross yen. However, the Tokyo fix saw decent supply hit the market with additional sell interest prompted by the fall in Softbank shares as the local market reacted to a Friday report that Crest Financial had stepped up its campaign against the sale of Sprint Nextel Corp to Softbank. Euro-dollar dropped back to $1.3043, recovered to $1.3066 in line with euro-yen only to drop to $1.3029 ahead of the European open as stops through Y114.50 were targeted and triggered. Bids from $1.3030 through to $1.3000 have helped to cushion the move though rate holds heavy into Europe. Offers remain into $1.3090, stronger between $1.3100/30. A fairly light data calendar, EZ Sentix 0930GMT and EZ PPI 1000GMT today, with interest later this week on ECB and BOE meetings and bond auctions in Italy and Spain.
EasyForexNews Research Team