EUR opened on a firm footing in Asia after progress was made yesterday in the Greek debt swap deal on confirmed reports that an austerity agreement was being drafted and would be presented to the cabinet today. Market reacted with optimism and the EUR rallied to $1.3270 in NY closing the session at $1.3260. Asian markets edged up to $1.3266 in Tokyo on euro-cross fixing demand, before easing back with some dollar strength as USD/JPY broke Y77.00, to a session low of $1.3242. USD/JPY headed higher through exporter offers passing the NY highs of Y76.97 and breaking Y77.00 to Y77.10, before encountering the next tranche of exporter supply. EUR/JPY picked up on the back of the move to Y102.12 from Y101.67. AUD/USD lagged the euro as profit taking drove EUR/AUD higher, spending the session around $1.0800 before easing to $1.0782 as cross consolidated yesterday’s sharp rally from A$1.2133 (all time lows) to highs of A$1.2289 this morning. Cable was steady in a tight $1.5887-03 range with EUR/GBP easing from stg0.8343 to stg0.8331.
EasyForexNews Research Team