ForexLive US wrap-up: USD edges lower in ranges in quiet trade

• US weekly jobless claims fall 6,000 to 462,000
• US January trade deficit $37.3 bln; lower than expected
• SNB holds rates steady; says will continue to counteract CHF strength
• Dutch PM: Greece should consider going to the IMF
• S&P says dollar still the global reserve currency
• Obama: China currency adjustment would help global trade; wants even playing field for US workers
• ECB’s Tumpel-Gurgerel: Greek promises impressive; wants to see implementation
• S&P 500 matches January highs at 1150
• US yields rise on short-end of curve: 2-year yield up 4 bp to 0.95%; 10-yr flat at 3.72%

EUR/USD spent the US session in a range. A choppy range at first, followed by a glacial afternoon rise.

We fell from 1.3688 shortly after the US economic data to a low of 1.3626 in about 10 minutes, then spent the balance of the day recouping that lost ground. Comments from the Dutch PM suggesting that Greece could go to the IMF helped knock EUR/USD from its highs. Traders took the comments as an admission that the EU may not be up to the task of looking after its weakest link(s) on its own. Heavy sales from a Swiss private bank helped weigh on the EUR around the same time. Strong buying from US custody banks helped lift EUR/USD back into the 1.3650s after which improving US equity markets helped carry the ball the rest of the way to 1.3681 afternoon highs.

Cable dipped briefly below the 1.5000 level as EUR/USD slipped back but US custody buying in that pair helped the pound recover to 1.5060/65 late in the day.

USD/JPY was limited on the topside by heavy offers at the 123.90 level in EUR/JPY once again. Traders fear a sell off i the cross if the Rubicon is not crossed soon.

AUD/USD slipped to the 0.91-teens on risk aversion with losses in stocks and commodities seen early in the US session but it rebounded along with the European currencies in the afternoon and ends the day around the 0.9150 level.