Release of disappointing Flash PMI's....>

EURO-DOLLAR: Release of disappointing Flash PMI's for France, Germany and EZ

(forward looking and seen as a good pointer for GDP) acted to drop EUR/USD to an

initial low of $1.1289. Rate managed a recovery to $1.1320 before it settled

around $1.1300 into NY. A weak recovery to $1.1315 was quickly followed by a

press down to $1.1273 but was able to recover to $1.1293 into the 1600GMT fix.

Rate currently trades around $1.1285. Risk aversion added to the PMI reaction,

JPY the beneficiary with EUR/JPY providing the main pressure on the EUR. The

break below $1.1281(61.8% $1.1177-1.1448) has exposed support between $1.1250/40

($1.1241 76.4%). Resistance said to begin around $1.1300, stronger into $1.1320.

- Germany IFO provides Monday's data interest, with ECB Draghi, Praet, de

Guindos and Mersch all set to speak in Frankfurt Wednesday Mar27.