Rate saw an extended high of $1.1221....>

EURO-DOLLAR: Rate saw an extended high of $1.1221 in post fix trade Monday

before it settled back around $1.1200 through to the close. With the USD trading

generally soft EUR/USD remained basically buoyed above $1.1200 through Asian

trade (range $1.1198-1.1215). Month-end models have suggested that the USD will

come under pressure at today's fixes, with positioning for this expected event

providing a good proportion of the current USD pressure. Europe expected to

close early for new year which will add to thin conditions at today's fixing

(1600GMT). That said, market is seen sitting short USD's and could be open to

short squeezes during the day, though underlying tone remains USD bearish. 

- Support $1.1200/1.1195, stronger into $1.1170. Resistance $1.1215/25,

$1.1235/40. 

- A light data calendar into year end. US Case-Shiller Home Prices(1400GMT) and

US Consumer Confidence(1500GMT).