EUR/USD circles two-year lows -The single.....>

FOREX: EUR/USD circles two-year lows

-The single currency worsened further early Friday, inching the pair closer to

the two-year low printed at $1.1027 in early August. Comments from an MNI

interview with ECB's Lautenschlaeger provided little reprieve despite the ECB

executive board member voicing her opposition to excessive stimulus by stating

she sees no need for a restart of QE. Any fall through $1.1027 opens $1.10 and

the channel base drawn from the January high at $1.0991.

-JPY is modestly the best performer early Friday, with the currency undeterred

by better equity markets in mainland Europe and futures in the US. Price action

is largely contained, however, with USD/JPY still well above yesterday's lows.

-SEK remains better sold, keeping EUR/SEK on track to top the early August and

perhaps even the mid-May multi-year highs. USD/SEK printed the best levels of

the cycle today at 9.8121, a level not seen since 2002.

-A stacked data calendar follows, with Italian and Canadian GDP, US personal

income, spending and PCE numbers as well as the MNI Chicago PMI report.