Rate dropped to $1.0927(YTD low.........>

EURO-DOLLAR: Rate dropped to $1.0927(YTD low $1.0926 Sep03-double bottom) as ECB

delivered the expected rate cut. Despite ECB providing the rate cut, tiering and

announced QE, the rate bounced back as some perceived that Thursday's moves were

'one and done', with reports also suggesting disagreement on QE within the ECB

board. EUR/USD pushed up to a fresh intraday/Sep high of $1.1087 before it

settled around $1.1063 into the close. Rate eased to $1.1056 in early Asia

before it recovered in a slow, holiday thinned session, to $1.1073 into Europe.

Positive comments from US Trump on China trade improved the outlook for risk but

little effect seen in FX. Technical resistance remains at $1.1085/87, Asian

traders reporting actual resistance between $1.1090/1.1110. Support

$1.1049(23.6% $1.0927-1.1087) ahead of Thursday's hourly pullback low of

$1.1026(38.2%). Traders also note that $1.1000 holds expiries at today's NY cut,

E2.51bln, E2.14bln of EUR puts. Countering we have expiries between

$1.1050-60(E1.58bln-E1.18bln are EUR calls).

- EU Trade at 0900GMT. US Retail Sales at 1230GMT main focus. Michigan sentiment

1400GMT.