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Recovery off Thursday lows of $1.1290...>

EURO-DOLLAR
MNI (London)
EURO-DOLLAR: Recovery off Thursday lows of $1.1290 continued through Friday to
$1.1417 before it closed the week around $1.1405. Early Asia found support at
$1.1400 before it edged to an extended recovery high of $1.1426 but had slipped
back to $1.1404 ahead of the European open. A strengthening yuan was seen as the
main driving force in the second part of Asian dealing as it countered the
initial risk-off tone. Resistance noted into $1.1430 ahead of $1.1450 and
$1.1490/1.1500. Support $1.1400, $1.1385/80.
- The $1.1390-1.1405 area holds the strikes of expiring options for E2.5bn which
may keep the rate anchored close by. 
- EZ highlights this week include EZ M3 today, German CPI & French GDP due
Wednesday, as well as EZ & Italian GDPs due Thursday. This week is particularly
rich in ECB rhetoric. Pres Draghi(1400GMT, 1600GMT), Nowotny(0845GMT) & de Cos
due to speak today. 
MNI London Bureau | +44 203-586-2231 | john.webb@marketnews.com
MNI London Bureau | +44 203-586-2231 | john.webb@marketnews.com

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