Recovery off the ECB react low of.......>

EURO-DOLLAR: Recovery off the ECB react low of $1.1230 extended to $1.1279 as

market turned their attention toward the USD ahead of the release of FOMC

Minutes. A fairly muted reaction to the Minutes though the USD was able to pare

some of its pre release losses, EUR/USD eased to $1.1263 though initial reaction

was slow. Rate then settled back above $1.1270 through to the close. Rate

continued to trade with an underlying buoyant tone though resistance at and

above $1.1280 provided a decent counter. Trade in Asia was restricted to a tight

$1.1272-81 range, though rate keeping up the pressure on the topside into

Europe. 

- Support seen at $1.1265/60 ahead of $1.1230. Resistance $1.1285/87, $1.1300

ahead of $1.1326/31.

- Germany CPI 0600GMT, France CPI 0645GMT provide morning interest (though

Sweden CPI seen having more potential market impact), ahead of US Initial

Jobless Claims and PPI at 1230GMT.

- Expect some further fall out from Wednesday's ECB Draghi press conference and

FOMC Minutes.