• ECB keeps rates unchanged; extends extraordinary liquidity operations into early January; 3-month refis to be done at variable, not fixed rates
  • ECB staff raises GDP and inflation forecasts, Trichet sees no double dip
  • US jobless claims fall 1,000 to 472,000
  • US nonfarm productivity falls 1.8% in Q2
  • US pending home sales rise 5.2% in August
  • Chain store sales rise 3.2% on August: ICSC
  • Reuters poll: 55% of economists polled see BOC rate hike next week
  • US factory orders rise 0.1% in July, June revised higher to -0.6%
  • S&P 500 average 0.9% to 1090
  • US 10-year note yields rise 5 bp to 3.63%

A mostly range-bound session with EUR/USD stalling ahead of 1.2850. Stops reside just above 1.2860, traders report. Dips were limited to 1.2805 with European corporate buying seen on dips.

JPY pairs were quiet save for AUD/JPY which was a strong performer. AUD/USD closes at trend highs 0f 1.9120 ahead of payrolls.

Sorry for abbreviated wrap-up but we have a hurricane on the way and I need to do some prep work…