Italian headlines pressured the EUR in.......>

DOLLAR: Italian headlines pressured the EUR in early Europe as the USD gained a

fresh bid tone across the board. The DXY squeezed +20 pips to 94.52 and seen

approaching long-term downtrend & 100-dma resistance at 94.59/64. Bulls need to

break back above the 50-dma at 95.04 and September highs at 95.73 to change the

short-term outlook. Gold has failed to reclaim $1200 as the yellow metal

continues to search for a break either side of $1190-1210. The main US data

comes via a triple release at 1230GMT with the level of initial jobless claims,

durable goods and the second quarter GDP final estimate. The level of initial

jobless claims is expected to rise by 21,000 to a 222,000 level in the September

22 week after a decrease to 201,000 in the previous week to another 49-year low.

Durable goods are expected to rise by 2.0% in August after an unrevised 1.7%

decline in July. Boeing reported 99 orders in August, up sharply from 30 orders

in July. Durable goods orders excluding transportation orders are expected to

rise by 0.5% in August. Second quarter GDP is expected to be unrevised at a 4.2%

pace, while the chain price index is forecast to be revised unrevised at a 3.0%

pace.