Touched a high of $1.1472 in early......>

EURO-DOLLAR: Touched a high of $1.1472 in early European trade Tuesday before

rate turned lower, the corrective pullback extended to a low in NY of $1.1359 on

risk aversion flows, led by equity market losses. Rate managed to settle around

$1.1370 through to the close, marked an early low of $1.1366 in Asia before it

resumed its slow recovery as it pushed up to $1.1387 into Europe. Early Europe

has extended move to $1.1401 and holds firm. Resistance noted into $1.1402(38.2%

$1.1472-1.1359), a break to expose $1.1430-45 then $1.1472. Equity markets seen

off lows which has aided an easing in risk aversion.

- As a reminder, the EU Commission will deliver its verdict on the Italian

budget situation later today (some have suggested this could come around

1100GMT), while UK PM May is heading to Brussels for talks on future relations

with the EU.

- European focus this week ECB Oct meeting minutes & EZ consumer confidence

Thursday, as well as flash PMIs & German final GDP reading Friday. Elsewhere, a

number of ECB speakers Thursday & Friday.

- Italy in focus with Greece woes seen surfacing again(AEP Telegraph)