Forex news from the European morning session 3 June 2015

News:

  • Greece will not make June IMF payment if there is no prospect of a deal
  • Greek PM Tsipras will not be meeting Dijsselbloem
  • Tsipras says the Greek proposal will end Grexit scenarios
  • EU's Juncker says he will be meeting with Tsipras
  • France's Macron says he's confident a deal with Greece can be reached
  • EU's Moscovici hopes for a Greek deal in coming days
  • EU doesn't expect any final outcome on Greek deal today
  • Portuguese finance minister doesn't want to speculate on Greek negotiations
  • BOJ's Shirai says monetary policy is not aimed at FX
  • OECD cuts 2015 global growth forecast to 3.1% from 3.7% expected last November
  • Why the ECB will not be springing any surprises today
  • Option expiries 10am NY cut today 3 June

Data:

  • May 2015 UK services PMI 56.5 vs 59.2 exp
  • Eurozone Markit services PMI May final 53.8 vs 53.3 exp
  • Germany Markit services PMI May final 53 vs 52.9 exp
  • France Markit services PMI May final 52.8 vs 51.6 exp
  • Italy Markit services PMI May 52.5 vs 52.8 exp
  • Eurozone unemployment rate April 11.1% vs 11.2% exp
  • Italian unemployment rate April flash 12.4% vs 12.9% exp
  • April 2015 Eurozone retail sales +0.7% vs +0.6% exp m/m
  • Spain Markit services PMI May 58.4 vs 59.4 exp
  • US MBA mortgage market index 369.5 vs 399.9 prior
  • UK Nationwide house price index May mm +0.3% vs +0.4% exp
  • Nikkei 225 closes down -0.34% at 20,473.51

A busy session again with most of the big action in the pound and euro as the Greek deal and UK PMI data dominated

EURUSD had another early look at the 1.1200 barrier option but failed at 1.1190 and as the reality of no Greek deal today gathered pace we were soon back down to 1.1145 then testing bids at 1.1120. Then a mixed set of Eurozone PMIs signalled a weakness in rallies back above 1.1140 and it was time to test 1.1100

Meanwhile GBPUSD was getting slapped on awful services PMI and was soon plummeting from 1.5360 to 1.5280 support then looking at the bigger 1.5250 pivot which has held to help the pair rally but failing to breach 1.5300 still.

EURGBP had earlier held onto 0.7250 support and was soon testing the offers/res at 0.7300 only to fail and fall back toward 0.7270.

USDJPY enjoyed the general USD-positive tones to post 124.61 from 123.85 while USDCHF also staged a decent rally from 0.9302 to 0.9379 but some safe-haven CHF demand has seen the rally stall while EURCHF is still struggling to get through 1.0430-50 resistance

AUDUSD failed to hold its post-GDP gains above 0.7800 and has drifted back to look at the support into 0.7750 while NZDUSD has fallen from 0.7180 but holding above 0.7130 so far

ECB and more data to come with eyes still on Greece. This day has a got a lot more to offer yet.