EUR creeps higher in low volume trade.........>

FOREX: EUR creeps higher in low volume trade

-Unsurprisingly, markets are quiet and volume's thin Monday with markets

partially closed (Eurex is shut for the day, US markets have a half day) ahead

of the Christmas holidays. Nonetheless, the EUR's ebbed higher, benefiting from

the Italian Senate giving the thumbs up to the latest tweaks to the Italian

budget - although Italian bond markets are yet to give their opinion as BTPs are

closed.

-The USD is generally weaker with the extended partial government shutdown and

recent equity volatility knocking the greenback. This helped nudge EUR/USD north

of $1.14 in early European trade having closed below the handle Friday. The

100-dma at $1.1482 marks the first level of major resistance.

-AUD is the best performer in G10, rising against all others after a woeful

performance last week where the currency lost around 2% to close uncomfortably

close to the year's lows. Bears eye a break below $0.7021 to extend the move

lower.

-The sole US release is the Chicago Fed National Activity Index.