Noteworthy News:
- UK CBI Numbers worse than expected.
- BOE MPC Meeting Minutes released, asks permission to print money
- German Economic Ministry describes economic outlook as “Very Cloudy”.
- Britains AAA credit rating could be at risk.
- Czech Deputy PM described east eurpean banks as a huge problem.
- BOJannounces commencment date for bank stock buying program.
- Table of Economic Data Releases.
Foreign Exchange Markets:
- For a change today early London embraced the risk trade and took the EUR, GBP, and AUD to the top of their daily ranges before the story in the UK telegraph saw the Cable fall heavily from 1.4300 to an eventual move below 1.4100 on the back of the MPC meeting minutes being released.
- Talk remains of large barrier options at 1.2500 in the EUR/USD which look like being tested at some stage given we have struggled to claw back much ground above 1.2600. Expect further selling as we approach 1.2700 with stops above 1.2730.
- Ranges: EURUSD 1.2555/1.2641, USDJPY 92.06/92.71, GBPUSD 1.4089/1.4300, AUDUSD 0.6330/0.6432, EURCHF 1.4797/1.4695, EURGBP 0.8823/0.8920, EURJPY 115.89/116.99.
- Support and Resistance Table.
Equity Markets:
- After starting the day in positive territory the European equity markets all headed lower once more with UK insurers leading the FTSE lower.
- The FTSE is currently down 25 pts at 4,009, the DAX is down 30 pts at 4,187 and the CAC is down 4 pts at 2,871.