Ranges respected in subdued morning...........>

FOREX: Ranges respected in subdued morning

-Markets largely picked up where they left off in Wednesday's European session,

with JPY extending its recent weakness to boost USD/JPY to fresh recovery highs

at Y107.85. The 100-dma becomes the next target at Y108.19.

-EUR will likely remain a point of focus going forward, with MNI reports

yesterday suggesting any fresh QE could have a delayed start data and/or be tied

to economic data still a point of interest. EUR/USD trades contained, with

Wednesday trade well within the week's ranges so far. Any other sourced ECB

reports today will undoubtedly garner focus.

-GBP is faring slightly better, keeping GBP/USD within the upper end of the

week's range to retain the recent uptrend. $1.2385 is the primary target ahead

of the Jul23 low at $1.2418 and the 100-dma at $1.2527. The UK government are

continuing their attempt to re-negotiate the Irish backstop, with reports

suggesting the government could soften their stance on a time-limit deal.

-US PPI data is the calendar highlight, with no speakers on the docket either.

Focus remains on tomorrow's critical ECB meeting.