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Talk of month-end USD sales.............>

EURO-DOLLAR
MNI (London)
EURO-DOLLAR: Talk of month-end USD sales reportedly provided the buoyancy to
keep EUR/USD supported at $1.1000, the rate touching this level into Thursday
afternoon trade before it recovered to $1.1011 in a very subdued US Thanksgiving
holiday thinned market. Consolidation through Asia saw rate confined to a tight
$1.1008/13 range. US returns Friday, though staffing levels expected to be low
with US markets closing early into the weekend/month-end. Support remains at
$1.1000 ahead of stronger area between $1.0992/89, a break to expose the
$1.0950/40 area. Resistance $1.1018/26, with traders aware that E1.08bln of
options roll off with strikes between $1.1025/35. Stronger resistance then noted
into $1.1050, with larger option expiries noted between $1.1055-70 amounting to
E2.17bln.
- Release of weaker than forecast Germany Retail Sales allowed rate to extend
range base to $1.1007, though reaction was seen muted. France GDP final Q3, PPI,
HICP and Consumer Spending at 0745GMT ahead of German Employment data at
0955GMT. Focus on EZ flash HICP at 1000GMT.    
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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