A quiet European morning as the market........>

FOREX: A quiet European morning as the market awaited the release of the BOE and

ECB minutes. Early European trade witnessed a demand for dollars, however the

dollar pared back its earlier gains just ahead of NY.

- The BOE voted 9-0 to leave rates unchanged, the initial reaction was to sell

Sterling, with cable dropping from $1.3450 to $1.3395. Cable did recover towards

the European close with the rate grinding back over $1.3440.

- The ECB (as expected) did not raise rates, the initial reaction was muted,

however there was a burst of euro demand as Draghi said the ECB see solid growth

in GDP in 2018. The rate spiked from $1.1830 to session highs of $1.1863.

However the move was short lived as ECB staff saw core inflation rate failed to

pick up. The pair dropped sharply to intra-day lows of $1.1800. 

- Broad based dollar demand following falling commodities and rising US Tsys

Yields saw stops triggered on the break of $1.1790, the rate dropped to lows of

$1.1771.

-The USD lost ground against Cad and Yen in afternoon trade following a hawkish

tone from the BOC Poloz.