- Spain’s EconMin Salgado: Plans to extend EFSF to 2 trln NOT on the table
- EU Commission: No formal debate has started on EFSF leveraging
- Greek review by EU/IMF/ECB inspectors is expected to resume in Athens on Wednesday – Reuters quoting source close to inspection team
- Greek PM Papandreou: Strengthened EFSF is important for European future. Guarantees Greece will meet all its’ obligations set by Troika mission
- Greek FinMin: Insists on need to implement July 21 deal as opposed to default
- ECB’s Bini Smaghi: Have to make sure Greece meets all commitments
- Austrian Chancellor: Thinks Greece will take steps that will allow it to get further aid. Countries that don’t stick to their obligations cannot get more bailout help
- ECB’s Bini Smaghi: Whether current slowdown temporary or leads to more lasting stall depends on policymakers’ ability to ease tensions
- German Gfk October consumer sentiment indicator 5.2, unchanged from September, better than median forecast of 5.0
- UBS consumption indicator for Switzerland down at 0.79 in August from 1.28 in July
- UK CBI retail sales balance -15 in September vs -14 in August, in line with median forecast. Lowest read since May 2010
Not much change in the major spots and crosses. All in all dull fare this morning.
EUR/USD sits at 1.3500, marginally easier from early 1.3515. Tried rallying early but ran into real money/Asian sovereign selling at 1.3550+.
Comment from Salgado re EFSF (see above) saw a brief dip below 1.3500. In fact we’ve been below 1.3500 a few times but with no real followthrough as yet. Middle Eastern buying has been notable below 1.3500 lending the single currency support.
Talk of buy orders clustered 1.3470/80, sell stops through 1.3460.
Cable down at 1.5530 from early 1.5570. Sell orders seen clustered around 1.5600 capping the recent improvement in the pairing.
EUR/GBP touch firmer at .8695 from early .8680. This despite talk of decent fix sell orders to be done.
USD/JPY remains confined to mind-numbingly boring narrow range. Effectively unchanged at 76.45.
AUD/USD up at .9870 from early .9840, underpinned by rebound in precious metals/commodities.