The dollar sits in negative territory at.....>

DOLLAR: The dollar sits in negative territory at the European crossover,

registering modest losses across the board. Risk assets improved with NZD & AUD

top of the pile and continuing to recoup Wednesday's multi-year losses. Gold

holds toward the base of its $1499-22-1509.17 range, while WTI & Brent post

moderate gains.

- The DXY has so far failed to close below the 100-dma (97.29) and has posted a

number of consecutive Doji star candle patterns which is a further sign of

indecision. The index holds in a very narrow 97.53-60 range with upside gains

contained by the 21-dma at 97.61. A break here opens 97.86 which represents the

38.2% retracement level of the Aug fall.

- US PPI the main data release at 1230GMT today. Final demand PPI is expected to

rise by 0.2% in July after a 0.1% gain in May and June. There are no central

bank speakers scheduled.

- Also worth noting of some large expiries for today's NY cut which could

anchor. EURUSD $1.1200-05(E1.07bln), USDJPY Y105.90-00($1.34bln).