• Quiet consolidation in Asia with no major developments over the weekend
  • FinMin meeting ended with pressure now on EZ officials to come up with a decisive solution in very near future
  • German FinMin reiterates that private sector should have more involvement in Greek rescue package
  • Greek parliament to vote on austerity measures on Thursday; large stop-work plans for Tues and Wed from two biggest unions
  • Despite plenty of rumours, no sign of BOJ/MOF to implement any Yen-weakening policies
  • Regional bourses +1.5% on average; Gold $1682/oz

Very quiet session again in Asia and even the early interbank market which is normally volatile on a Monday, stayed inside very tight ranges.

USD/JPY was for a change the most volatile pair in early trade but only because interbank dealers tried successfully to trigger tight trailing stops below 77.00. The market had gone long into the weekend on the back of yet more rumours that the BOJ/MOF would introduce measures to weaken the Yen. Once they didn’t emerge, the stops got triggered. The majority of the rest of the session has been spent near 77.20. Overall ranges: 76.91/77.30

EUR/USD traded a 20 pip range in early interbank trade and only some late selling has pushed it outside of this range. Barriers at 1.3900 are reportedly well protected and all rallies above 1.3880 met with willing sellers. Dips have been fairly shallow with very little interest being shown either way. Ranges: 1.3830/87

AUD/USD was unable to hold above 1.0300, with traders happy to book profits after a solid run higher towards the end of last week. Ranges: 1.0281/1.0340

Cable 1.5786/1.5837 and dealers are still referring to sizeable stops in EUR/GBP above .8800.

USD/CHF .8909/53