the next data was issued
06:45 France CPI (May) unadjusted 0,5% 0.3%
06:45 France CPI (May) unadjusted Y/Y 3,3% 3.0%
06:45 France HICP (May) Y/Y 3,7% 3.4%
08:30 UK Claimant count (May) +9,0К +7.2K
08:30 UK Average earnings (3 months to April) Y/Y 3,8% 3.8%
08:30 UK ILO Jobless rate (3 months to April) 5,3% 5.2%
08:30 UK Claimant count rate (May) 2,5% 2.5% 2.5%
08:30 UK Trade in goods (April), bln -7,6 -7.4
08:30 UK Non-EU trade (April), bln -4,3 -3.8
The dollar struck a 3-1/2-month
high against the yen on Wednesday after more tough talk from
Federal Reserve officials on inflation firmed expectations of a
U.S. interest rate rise this year.
The euro momentarily hit a session low against the dollar
after European Central Bank board member Jeurgen Stark was
reported as saying the central bank is not considering a series
of rate rises, even as investors expect a hike in July
The pound fell against the euro, snapping a two-day gain, on mounting
speculation a housing-market slump caused by the credit squeeze is
curbing economic growth.
EUR/USD: Opened in early Europe around $1.5481. The
recovery continued into early Europe, weak shorts exposed as
euro-dollar took out stops through $1.5500. Momentum was subdued
however, rate grinding up to $1.5517 before turning around, comments
from ECB's Stark then knocking the pair from $1.5486 to $1.5456 (ECB
not talking about a series of rate hikes). A decent bounce from here
took the pair back up to $1.5500, where traders noted talk of large
expiry interest at the NY cut. Strong bids $1.5445/40, bids $1.5410/00,
offers $1.5520, stops above
GBP/USD: Opened
early Europe at $1.9542. Cable tracked euro-dollar's extended rally
above $1.5500, pushing up to challenge resistance at $1.9575/85. Rate
then eased with euro-dollar, holding $1.9555 into UK data. Trade and
earnings data weighed on sterling, dropping cable to $1.9493. Cable
bids $1.9490/80, $1.9450. Offers $1.9575/85, $1.9600/10.
USD/JPY: Opened in early Europe around Y107.71. European dealing
opened with dollar-yen pressuring the highs, traders noting talk of
barrier interest at Y107.85 and Y108.00 attracting protective offers,
with rate easing back under Y107.50. Dollar-yen was trading around
Y107.30 going into the US session, while euro-yen was able to extend
the highs to Y166.97 before easing to Y166.20. Dlr-yen offers
Y107.75/00 (barriers Y107.85/108.00), tech Y108.35
US will report Fed Beige book today at 18:00GMT with Officials comments on a table.