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EUR/USD sank to an eventual low of......>

EURO-DOLLAR
MNI (London)
EURO-DOLLAR: EUR/USD sank to an eventual low of $1.1216 Monday as the single
currency felt the effects of general USD strength, linked to risk concerns and
recent hawkish Fed Minutes, along with concerns linked to today's Italian Budget
response deadline and EU Juncker hints that EU-US trade tensions may re emerge
in 2019. Wall Street closed close to its Monday lows, with pressure seen from
the tech sector. However, risk was given a boost in Asia, initially on suspected
official intervention in USD/CNY, then by a report in the South China Morning
Post that Vice Premier Liu He to visit US to prepare talks between US Trump and
China Xi, which provided an added lift to a slowly recovering EUR/USD. Rate
extended its recovery to $1.1252 before it eased to $1.1240 where it met support
ahead of the European open. Early sales in Europe eased rate to $1.1237 before
it corrected back above $1.1240. Data light calendar for the EZ Tuesday though
we have ECB Praet speaking at 0800GMT and de Guindos at 1900GMT. Fed speakers
include Kashkari, Brainard and Harker, all seen on the dovish side. Support seen
at the lows of $1.1217/16, stronger into $1.1200 with $1.1160 a suggested
technical target. Resistance $1.1250-60 ahead of $1.1280 and key $1.1300. 
MNI London Bureau | +44 203-586-2231 | john.webb@marketnews.com
MNI London Bureau | +44 203-586-2231 | john.webb@marketnews.com

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