Rate extended its month-end recovery....>

EURO-DOLLAR: Rate extended its month-end recovery rally through Friday's

session, the rate able to edge to a pre 1600BST fix high of $1.1018 before it

eased off to $1.0973 in post fix/pre weekend trade. Weekend news flow brought

renewed and intensified U.S.-China sabre rattling, comments from US Trump

blaming China for not containing the COVID-19 outbreak viewed as the opening of

his election campaign (expect more comment like this), while shots were

exchanged across the Korean DMZ. Risk aversion though Asia saw EUR/USD drift to

a low of $1.0935, retesting Friday's early Asian low, ahead of the European

open. Next support seen into the $1.0921(Apr30 post fix pullback low) ahead of

$1.0890/85. Resistance $1.0972(Apr30 high) ahead of $1.0985 and $1.1018. 

- Final Mfg PMI data due in the EZ as well as the ECB publishing its Survey of

Professional Forecasters. US Durable Goods, Factory Orders moves into view this

afternoon.

- MNI TECHS: EURUSD starts week on a softer note. For now, a bullish theme

remains intact, following break of $1.0991(Apr15 high), as well as the 100-dma.

Initial support lies at 1.0888 ahead of 1.0799.