Monday's break below Friday's low of....>

EURO-DOLLAR: Monday's break below Friday's low of $1.2250, then Apr6 low of

$1.2215, provided the added momentum to take rate to an extended low of $1.2198

in NY. Rate settled back above $1.2200 into Asia, consolidating in early trade

between $1.2205/10. Uptick in UST yields saw rate extend lows to $1.2185 before

those yields pared gains which allowed rate to recover to $1.2220 into Europe.

UST yields remain in the driving seat for FX direction. Traders suggest 'robot'

trading could keep us hemmed in between $1.2205/20 in early trade, a break on

the topside to expose $1.2250, a break to relieve some of the current downside

weight. Below $1.2205/00 and the Asian base at $1.2185 moves back into view.

Focus today on Germany IFO data at 0800GMT, with ECB Villeroy due to speak in

London at 0930GMT. US Homes data this afternoon.