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Extended recent recovery to $1.1404.....>

EURO-DOLLAR
MNI (London)
EURO-DOLLAR: Extended recent recovery to $1.1404 ($1.1403 Feb26 high) ahead of
the NY open but rate again struggled to build above the figure. Reports
suggested that corporate and technical sales provided the main resistance after
rate was driven higher by earlier leveraged demand. Release of stronger than
forecast US Pending Home Sales, though countered in some part by soft Factory
Orders, provided the added weight to take rate to down to $1.1369. Rate
recovered to $1.1395 ahead of the 1600GMT fix only to drop to fresh lows of
$1.1363 post fix before slowly edging back around $1.1375.
- Resistance $1.1400-10, $1.1425, $1.1440-50. Support $1.1463, $1.1445.  
- Month-end approaches Thursday with recently published models suggesting strong
USD sales to be seen. SOMA operations reported to be relatively small at $6.8bn.
- Thursday brings CPI releases from France, Spain, Italy, with regional German
state CPI's to be released through the morning ahead of the pan-Germany release
at 1300GMT. 
- US PCE and Chicago Report released Thursday.
- Fed speakers include Clarida, Bostic, Harker, Kaplan.   
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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