- IMF cuts global growth forecasts
- Shanghai composite closes up 1.9% at 2115.23
- UK August Industrial Production -0.5% M/M, -1.2 % Y/Y
- ECB’s Draghi: ECB Can’t Print Money ‘That’s Not Going To Happen’
- ECB’s Draghi: Greece Has Made Significant Progress, but has more to do, must wait for troika’s report
- ECB’s Draghi: European Systemic Risk Board delivers macroprudential perspective
- More Draghi: ESRB is to publish a ‘dashboard warning system’
- Draghi: Has an ‘open mind’ about publishing ECB minutes
- Spain’s De Guindos: Eurogroup Did Not Discuss Further Adjustments, Valued Spain’s Measures Positively
- Fitch Revises State of South Australia outlook to ‘Negative’
- French August trade deficit widens to -Eur 5.3 Bln From -Eur 4.1 Bln In July
- Japan’s September Service Sector Sentiment Index Slips To 41.2 From 43.6 In August
- Greek September CPI Falls To +0.9% Y/Y From +1.7% In August, lowest since debt crisis began in Oct 2009
- IMF Sees ‘Alarmingly High’ Risk Of Fresh Global Slump- AEP Telegraph
Well wasn’t that fun… With Gerry away I thought I’d be in for a nice nap, but no such luck. All quiet ahead of Europe with the market poised for a bit of risk after an almost 2% rise in the Shanghai Composite, EUR/USD gnawing away at offers just ahead of 1.3000 and European bourses looking set to open with small gains.
AUD/USD was also targeting offers around the 100 day MA at 1.0253 following another wave of profit taking in EUR/AUD.
All change around 8.15BST as the market absorbed lower growth forecasts from the IMF (ignored in Asia), and as Greek and Spanish woes came to the fore ahead of Mrs Merkel’s visit to an ouzo taverna for lunch.
10 yr Spanish bond yields headed higher with some mixed reports that they’d exceeded 6% which sent a twitchy EUR/USD sharply lower ahead of ECB Draghi’s address to the European parliament. The pair was slammed from the low 1.2970’s to 1.2907 before being halted by demand from M/East and Asian real money names.
European bourses were kicked back into the red with Spain losing over 1%, before a EUR/USD rally back into the low 1.2940’s.
GBP/USD slipped from 1.6042 to 1.6001 assisted by weak IP/Mfg data and a widening trade deficit, but stalled ahead of reported sell stops through 1.5995.
AUD/USD slipped back briefly under 1.0200 from 1.0240 but the fall was cushioned by a continued slip in the EUR/AUD cross.
EUR/JPY took a beating with the EUR/USD, off sharply from 101.72 to 101.02 as USD/JPY sat in a 78.25-43 session range.