Reaction to the FOMC announcement.......>

EURO-DOLLAR: Reaction to the FOMC announcement Wednesday placed general pressure

on the USD and allowed EUR/USD to clear above its recent resistance at $1.1450

and push on to an eventual high of $1.1502 as Fed Powell added to the dovish

rhetoric. Rate settled around $1.1480 ahead of the close. Asia picked up the USD

pressure baton and lifted EUR/USD to a fresh post FOMC high of $1.1508 in early

Tokyo, extending this move slightly to $1.1509 ahead of the European open. Early

European supply has provided some counter to the underlying buoyant tone, easing

rate to $1.1497 as market probes for stops. Month-end and bank models are

suggesting USD supply to be seen at the day's fixings. Reading reports, traders

not entirely convinced by EUR's current strength, noting EU problems with

growth. Support $1.1480/75, $1.1450. Resistance $1.1540, $1.1570.

- Germany trimmed its 2019 growth outlook to 1% from the Oct forecast of 1.8%

(as was touted by press reports last week), citing worries re: global trade,

while Italy's PM Conte expects Italian economy to have contracted in Q4 2018.

- EZ focus today turns to Italian & EZ GDP, French CPI as well as remarks from

ECB's Coeure, Mersch & Weidmann.