We’re in a risk off environment to start the week; Asian stocks lower, oil lower, gold lower, US treasury yields lower yada yada yada. The latest EU rescue package certainly got some poor press over the weekend.
EUR/USD down at 1.3990 from a North American close Friday up around 1.4155.
Next batch of buy orders clustered down at 1.3950/70. Guess there’ll be sell stops close below there. Hopefully will get some confirmation of exact level/s as European trading gets underway. I’d hazard a guess some through 1.3940.
Euro zone data due this morning:
07:00 GMT: German retail sales for September expected +1.0% m/m, +1.6% y/y
07:45 GMT: French producer prices for September expected +0.1% m/m, +6.1% y/y
09:00 GMT: Italian unemployment for September expected unchanged 7.9%
10:00 GMT: Euro zone CPI for October expected +2.9% y/y
10:00 GMT: Euro zone unemployment rate for September expected unchanged 10%
10:00 GMT: Italian CPI for October expected +0.1% m/m, +2.9% y/y, EU harmonised expected +0.6% m/m, +3.5% y/y
11:00 GMT: Italian producer price index for September expected +0.4% m/m, +4.7% y/y