Opened early Europe at $1.3035 EUR/USD closed in NY at $1.3050 with early demand into Asia able to mark session highs at $1.3058 before rate reversed tack and squeezed
lower. Japanese sales of EUR/JPY led the move lower but rate met good support between $1.3047/45. When the US name (Tokyo branch) pulled the bid the rate dropped to $1.3023. Rate recovered, edging to an initial high of $1.3040 before settling for the balance of the session between $1.3025/40. Middle east demand emerged into early Europe, with buys eventually able to clear above $1.3050 to extend recovery through the Asia high to $1.3072. Offers placed ahead of $1.3080 (21-dma/NY high Tues $1.3077) helped to cap with Asian sovereign sales then cited for pressing the rate back below $1.3030. Semi official demand into the dip provided a cushion but recovery attempts were hampered by ongoing Asian supply. Germany bund auction went off with no negative surprises, having little EUR/USD effect.
EasyForexNews Research Team