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Fairly muted response in EUR/USD to.....>

EURO-DOLLAR
MNI (London)
EURO-DOLLAR: Fairly muted response in EUR/USD to the US implementation of
increased tariffs on Chinese imports. Rate had recovered off a late NY pullback
low of $1.1210 to $1.1235 in early Asian dealing as markets reacted positively
to comments from US Trump but without the hoped for breakthrough markets braced
themselves for the implementation. JPY saw some inflows, EUR/JPY eased from its
early highs of Y123.62 to Y123.05 as it tracked USD/JPY's easing which left
EUR/USD to only drift back to $1.1224. Talk in Asia of certain central bank
action to protect currencies from the tariff news draws suggestion we may see
some account adjustment sales of EUR/USD in early Europe. Support remains at
$1.1210/00, a break to expose Thursday's low of $1.1174. Resistance $1.1235,
$1.1250/60. 
- French and Italian IP data draws interest this morning after this week's
better than expected German IP data.
- ECB speakers include Villeroy 0700GMT, Lautenschlaeger 0730 GMT, Visco at
0930GMT and Coeure 1430GMT.   
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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