Major overnight headlines:
• Fed’s Lacker says Fed isn’t close to trimming its balance sheet, Bloomberg
• Italian business lobby Confindustria cuts 2013 GDP estimate to -1.9% from -1.1%, Thomson Reuters
• Italian 5-year, 10-year bond yields highest at auction since March
• UK Q1 GDP (F) confirmed at 0.3% QoQ, in-line with estimates
• UK Q1 business investment spending falls 16.5% YoY in Q1, sharpest drop since 2009
• UK Q1 current account deficit weakens to -14.5 billion versus -13.6 billion previously
• UK real disposable income falls 1.7% QoQ in Q1, biggest drop since Q1 1987, Thomson Reuters
• Euro area lending to households falls 3.5% YoY in May versus a fall of 3.2% previously
• German unemployment falls 12k in June versus a rise of 8k expected
• French consumer confidence indicator falls to 78 in June, lowest level on record
Read the full report: FX Daily
BMO