Single currency sinks to new low - EUR/USD....>

FOREX: Single currency sinks to new low

- EUR/USD suffered its sixth consecutive daily decline Monday, hitting a new

multi-month low at $1.0909 and narrowing the gap with the early October lows at

$1.0879, which remain key support and the first target for bears. The losses for

the single currency follow still fragile risk appetite (core European equities

fell into the close) and renewed uncertainty surrounding Eurozone politics.

Merkel's heir-apparent in Germany AKK resigned, leaving doubt over who will step

into a role that carries such responsibility, and signs of a resurgence for

left-wing nationalists Sinn Fein in Irish voting raised further concerns.

- GBP traded well despite printing fresh multi-month lows in the Asia-Pac

session and the close back above the $1.2904 100-dma will stir some confidence

in bulls at this juncture. Focus now turns to the raft of UK data Tuesday, with

prelim GDP, industrial & manufacturing production and trade balance data all

due.

- Outside of the UK numbers, ECB's Lagarde, BoE's Carney and Fed's Powell all

speak. Speeches are also due from a number of other Fed, ECB and BoE members.